Private bus operators steered Karnataka government through RTC stir, now seek return favour

Private bus operators who responded to the government's request for running buses during the 15-day RTC workers' strike have demanded that the authorities return the favour, to help the pandemic-hit sector.

From tax exemption to liberal permit regime, private operators have requested the government for a new set of measures to help them survive the pandemic.

They noted that the government relaxed stringent rules to save itself from trouble during the strike and can do the same now to help private operators.

For decades, the Transport department and the state road transport corporations (SRTCs) have engaged in turf war with the private players.

Officials had been alleging that the illegal operation of private buses caused losses to the SRTCs. Rules were passed barring private buses from coming near RTC bus stations.

Radhakrishna Holla, president of the Karnataka State Tourist Vehicle Operators Association, said ever since the lockdown was imposed during the first wave of the pandemic, private vehicle operators have been facing a huge financial crisis.

Noting that over 12,000 buses were surrendered to avoid the huge tax, Holla said the government had made a positive gesture in allowing such vehicles to be plied during the strike.

"What we are seeking is tax exemption. The government has extended the time for paying tax from April 15 to 30. But the huge drop in earnings owing to Covid cases has made it difficult to pay the taxes," he said.

Owners of buses with stage carriage permits pay tax of Rs 45,000 per quarter, while the same for those with contract carriage permit is fixed up to Rs 1.3 lakh.

The all India permit holders pay Rs 1.38 lakh per quarter. For maxicabs and other vehicles of similar size, the tax is about Rs 18,000 per year.

Bus associations are also hoping for a liberal permit regime, which will change the very nature of public transport in Karnataka.

"Similar to Tamil Nadu, Karnataka can allocate half of the bus operations to the private sector by ending the monopoly over roads given to SRTCs. The SRTC operations should be limited to 50% to create a level playing field," K T Rajashekhar, president of Karnataka Bus Owners Association, said.

He said the demand has been pending from the 1980s.

"Allowing private players will help the government earn more taxes. In the long run, it is going to create a healthy competition and provide for a transportation facility which will contribute to the growth of the state," he added.

Officials told DH that a liberal policy may not be feasible in Karnataka.

"The government is aware of the situation. However, no discussion on such big changes have taken place as of now. A meeting will be held in the next few days on helping the private players," an official said.