TSRTC to do away with subsidy schemes from May 1

As part of its strategy, RTC has decided to drop Navya Cat, Vanitha and Vihari cards from May 1.

By Author  |  Published: 30th Apr 2019  12:19 amUpdated: 29th Apr 2019  11:29 pm

Karimnagar: TSRTC, which is reeling under financial crisis, has begun efforts to bailout the corporation from debts. Besides other cost cutting measures, the Corporation has also decided to withdraw some subsidies being provided to passengers.

As part of its strategy, RTC has decided to drop Navya Cat, Vanitha and Vihari cards from May 1 this year, from where new cards will not be issued. Old cards will be accepted up to completion of their expiry.

RTC authorities’ decision will help the corporation to earn about Rs 1 crore per day. It is going to be a big benefit for Corporation, which has about Rs 2,800 crore debt.

Speaking to Telangana Today, Regional Manager, Karimnagar, P Jeevan Prasad informed that corporation has decided to drop subsidy cards since there was no benefit for RTC with them. While continuing existing cards up to expiry, issuing of new cards would be stalled from May 1, RM informed.

In order to attract passengers towards corporation, RTC authorities introduced different types of subsidy schemes in united Andhra Pradesh and continued them even after formation of Telangana State.

It also forced RTC officials to introduce schemes to face private operators since there were number of private operators in Andhra region. Besides 10 per cent concession on each travel on Navya and Vanitha cards, card holders have also been provided Rs 1 lakh insurance cover. While Vanitha card was designed for white ration card families, Navya is a general card.

If a person purchase Navya card by paying Rs 250, he/she can get 10 per cent concession on every journey up to one year period.

Five members of a family can get 10 per cent concession for two years if they get Vanitha card by paying Rs 100. Vihari card holders can get 50 per cent discount on every journey up to one week.

Initially, only 20 to 25 per cent passengers used to purchase subsidy card. Now, more than 50 percent passengers were using cards. In Karimnagar region, there are 22,000 Navya cards and 10,000 Vanitha cards.

A majority of government teachers, employees and private employees were using subsidy cards. So, it has become a burden for corporation instead of getting profits, a RTC driver Bhaskar said. Appreciating authorities’ decision, he opined that it would reduce burden on conductors and TIM server drivers.

On the other hand, RTC staff suspected the move stating that as part of its strategy to privatise the corporation, government has canceled all subsidy schemes.

 

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