Bus commuters across Karnataka could soon pay more for their daily rides, with the state government setting up a dedicated panel to examine fare hike proposals from the state’s four road transport corporations.
The Transport Department constituted the Public Transport Fare Regulatory Committee (PTFRC) through a government order dated July 10. Retired IAS officer Atul Kumar Tiwari will chair the panel, joined by Dwarakanath Babu, a retired secretary of the Department of Parliamentary Affairs and Legislation, and Abdul Rawoof Pinjari, president of CiSTUP and a transportation engineering professor at IISc. KSRTC Managing Director Sivakumar KB will serve as ex-officio member-secretary.
The committee’s formation follows a rule change last year, when the Transport Department inserted Chapter 5A into the Karnataka Motor Vehicle Rules, 1989, specifically to enable such a body. A Deccan Herald report quoted Sivakumar as saying the panel would work independently, with its next steps to be decided shortly.
Why The Corporations Want A Hike
In early June, the KSRTC, North Western Karnataka Road Transport Corporation (NWKRTC) and Kalyana Karnataka Road Transport Corporation (KKRTC) sought a 33% fare increase, while the Bengaluru Metropolitan Transport Corporation (BMTC) asked for a steeper 40% hike.
The corporations have pointed to rising diesel prices, employee wage hikes and mounting arrears to justify the demand. According to reports, the wage increase alone — a 12.5% hike effective July 1, 2026 — is projected to add Rs 873.64 crore to annual expenditure, while sharper diesel prices, up Rs 7.81 a litre, are set to widen the fuel bill by a further Rs 395 crore.
Of the total arrears owed to employees, the corporations have settled Rs 450 crore so far, leaving a balance of Rs 821 crore, as per Deccan Herald.
The state’s free bus travel scheme for women, meanwhile, has pushed the share of paying male commuters down from 48% to 36%, further straining cash flow, the corporations argued. Collectively, the RTCs face liabilities of around Rs 6,000 crore, covering provident fund dues, diesel payments, gratuity and arrears owed to retired staff. In 2024-25 alone, KSRTC’s operations ran into a loss of Rs 177 crore.
A Hike 18 Months In The Making
If approved, this would be the first fare revision since January 5, 2025, when the RTCs last raised fares by 15%. Before that, the BMTC had not revised fares since 2014, while the other three corporations had last done so in 2020.
The PTFRC has been tasked with studying the financial health of the transport corporations — including fuel costs, spare parts, maintenance expenses, bus procurement and employee salaries — before recommending fare revisions, surcharges or other fees.
Transport Minister B S Suresh has indicated that any hike is likely to be modest, given the pressure of rising fuel prices. He said the proposal will be placed before Chief Minister DK Shivakumar and the state Cabinet before a final call is taken.
