SRTC’s losses go above Rs 100 cr

Gopal Sharma
JAMMU, Jan 18: While the State Government lacks will to revive the ailing J&K State Road Transport   Corporation (JKSRTC) even as its fleet strength has reduced to almost half  in past two and half decades, the Transport Corporation losses have gone above a whopping Rs 100 crore in last three years.
Highly placed sources in the State Transport department  told the Excelsior that  the SRTC suffered a loss of  Rs 25 crores during 2012-13 while its losses went up to Rs 38 crore the next year ( In 2013-14).  During the last financial year 2014-15, the  State Road Transport Corporation suffered a net loss of  Rs 30 crores.  Whereas, the figures  during the current financial year (ending December 2015) have shown little improvement  as the SRTC has shown losses worth Rs 24.5  crore and it is expected to remain around Rs 27 to Rs 28 crores by the end  of this financial year. The over all loss to the SRTC from March 2012 to December 2015  has reached up to Rs 117 crores.
The annual salary bill of the SRTC is around Rs 65 crore and the Corporation Management is unable to pay even the salaries of  its employees whose number is around 2500.  For the last three years,  it has not been provided any budgetary support by the State Government  resulting into the losses on the higher side. Many vehicles  are lying in the workshops  for want of spare parts and tyres besides other  repair/ maintenance. Due to non- release of  adequate financial support by the Government, the vehicles could not be pulled out from the workshops and brought on the roads for operation.
Due to non-operation of  these vehicles, the revenue of the Corporation has also been hit very badly. The checking system  by Corporation  squad  at different locations like Lakhanpur, Samba, Udham-pur,  Ramban etc besides other routes in Kashmir was withdrawn about a decade back alleging drivers/ cleaners nexus with the inspectors/ checking staff.  Only old manual ticketing system is prevalent in the SRTC.  There is massive pilferage in fuel and revenue as well and there is need to keep proper check and also to change the mindset of the employees who otherwise consider themselves as  ‘owners’ of these vehicles and not custodians.
Sources said that the Corporation fleet was around 1621 including 1135 buses  and 486 trucks during early 1990s while in last two and half decades this strength has been reduced to just 833 vehicles including 305 trucks  and hardly 523 buses besides a few light vehicles for staff.  Though nearly 150 buses which were provided by the Union Ministry of Housing and Urban Develo-pment  Department for Jammu and Srinagar cities during 2010 were also added to the fleet of SRTC, but its financial health could not be improved   much due to lack of  adequate support from the Government and non-plugging of the revenue pilferage within the system.
Despite the claims of the former Transport Minister,   A G Kohli in  Mufti Sayeed led Government  about purchase of  200 new buses, no funds were made available for making purchases by the State Finance department.  No vehicles in bulk were purchased by the SRTC in last 7-8 years except  just 48 buses during 2013.  The J&K Govt was given 150 buses by the Centre for the City commuters in Srinagar and Jammu but the SRTC is plying these vehicles on inter-state routes.  At present 122 buses are operating on inter-state routes.
Managing Director of the JKSRTC, G A Sofi when contacted said that  over 62 % of  the SRTC fleet is over aged.  For the smooth and better functioning of  the Corporation there is need of a sufficient healthy fleet.    The auction process of   129 old and condemned  vehicles  is underway  but to replace them,  new vehicles are required. Pulling out the vehicles  lying in the workshop for months for want of repair / maintenance is also a tough task and it needs funds, he added.
Replying to another question, the MD who was previously  posted as Director State Motor Garages with sound knowledge of  transport line, said that there is urgent need  to take some revolutionary steps to pull out  SRTC from  ‘red’.  No doubt,  it has become a while elephant for the Government but it can be made self sufficient,  if as per the recommendations of  SL Bhat Committee report , some measures are taken.  He said that Bhat committee has suggested that SRTC should have a healthy fleet  of about 1000 vehicles, idle workers of  the SRTC should be accommodated in other departments and all the revenue leakage points  be plugged besides going for computerisation and electronic ticketing system.
Sofi said that he has written to the Government to provide powers to the GMs/ DGMs etc to challan the passengers in case they are found without ticket in SRTC buses. There is provision for the punishment/ fine to  the conductor  but special powers as per MVD Act are needed to be accorded to the SRTC officers. There is urgent need to go for electronic ticketing system, computerization of record, stoppage of manual system, installation of automated machines for keeping check on fuel and for it he has discussed with Indian Oil Corporation as well.
The Managing Director further said that the issue related to installation of GPS vehicle tracking system and cameras in the fleet/ buses  is also under consideration. The random checking system is likely to be resumed shortly  and efforts are afoot to pull out all the idle parked vehicles in the workshops for want of tyres and other spare parts and make them operational.
“The SRTC needs at least Rs 30 crore budgetary support   annually till it becomes self sufficient.  If Govt provides one time at least Rs 150 crore support, the  SRTC can become self sufficient, rather, it would start earning profit. Against the sanctioned posts of six DGMs only two are  in place  and against six General Managers, only two are posted.  With the setting up of `Tehzeeb Mehal’  on prime SRTC land near Tourist Reception Centre at Srinagar, there has been sharp fall in the revenue of  the Corporation.  Out of total 22 kanal land, 20 was given for `Tehzeeb Mahal’ and only 2 kanal has been left with SRTC there for its operation which is not sufficient.   There has been a  sharp fall of nearly 12 lakh passengers annually with this major set back to the Corporation. No compensation has been given to the SRTC for this till today. In Jammu, huge SRTC land near Bikram Chowk was  given for ‘Kala Kendra’ and Govt promised 600 kanal land against this land in Jammu but only 60 kanal land at Rail Head complex was given. With such a `concern’ from the Government and non-cooperation from other agencies like JDA/ SDA  and others  it is very difficult to pull out the State Transport  Corporation from the losses,” Mr Sofi maintained.