The private bus operators had threatened to launch an indefinite strike unless their demand for revision in the fare structure was met.

However, following the government decision, they have called off the proposed strike.

The agreement was reached at a meeting between the Chief Minister and the bus operators who had substantiated their argument for a fare hike based on the recent diesel price rise as well as the periodical increase in the spare part prices since 1992 when the revision in fare rate was done last.

The bus owners had demanded a 4 paise per km increase to compensate for their increased production cost. But the government had agreed to hike the fare by 2 paise per km in case of ordinary and express buses and 3 paise per km for deluxe buses.

Following this, the new fare rates for ordinary and express buses would be 20 paise and 22 paise per km, respectively, and for deluxe bus 30 paise per km.

The new rates, which will become effective from September 1, would also be applicable to state-run Orissa State Road Transportation buses.

The meeting also decided to increase the town bus fares throughout the state by five per cent for each slab. With this, the minimum fare in the town buses will go up from Rs 1.40 to Rs 1.50.

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First Published: Aug 26 1996 | 12:00 AM IST

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