Chhattisgarh Govt Disbands Transport Corp

The Chhattisgarh government became the first in the country to hand over all transport services, except urban transport, to private operators on January 1.

The state will offer only private transport service on inter city routes.

A statement issued by the state government said that with the move, the former Madhya Pradesh State Road Transport Corporation (MPSRTC) in Chhattisgarh will now become non-existent, and its staff and property will go to the Chhattisgarh Infrastructure Development Corporation (CIDC).

Permits have been issued for 93 routes, as against 91 at present, and 273 buses, including 22 new buses, will now run on inter city routes, instead of 246 operated by MPSRTC.

 

The number of trips will rise by 121 to 591 from 470 run under the old system. Permits on 30 inter-state routes have also been issued against 17 earlier operated by MPSRTC.

More permits will be issued soon to encourage higher frequency. MPSRTC was plying 282 buses out of a fleet of 455 at a loss of over Rs 1 crore per month. Now, private operators will pay revenue by way of licence fee to the state government.

The government expects to earn Rs 15 crore annually from licence fees without any increase in fares. MPSRTC's 2,700 staff are expected to opt for the recently-announced voluntary retirement scheme.

Chhattisgarh Chief Minister Ajit Jogi said: