Karnataka hikes bus fares by up to 35% for BMTC, 23% for other RTCs amid mounting losses

The bus fare hike has been announced soon after the state government hiked the cost of milk and other milk products, based on the total solid fat content.
 Transport Minister Byrathi Suresh
Transport Minister Byrathi SureshPhoto | EPS
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BENGALURU: Karnataka Transport Minister Byrathi Suresh on Wednesday said that bus fares in will be increased by an average of 33% to 35% for Bengaluru Metropolitan Transport Corporation (BMTC) services and 23% for other state-run transport corporations, effective from Wednesday night.

Speaking to the media on Wednesday, the minister said the fare revision was necessary to address rising diesel prices, employee salaries and dearness allowance, higher spare parts costs and the financial burden on the four transport corporations. Around 80% of their total expenditure incured, goes towards diesel and staff costs, he added.

The minister said BMTC had sought a 90% fare hike, while KSRTC and the other two corporations had sought an increase of 32% to 34%. However, the government had decided to limit the increase to an average of 33% to 35% for BMTC and 23% for the other three corporations.

A Public Transport Fare Regulation Committee, constituted by the government in 2026, examined the corporations' proposals, taking into account increases in fuel and staff costs, spare parts expenses, and pending liabilities. It submitted its report to the government on October 6. The report favoured a cost escalation by 45% for BMTC and 28% for the other three state run transport corporations.

The minister also highlighted that the four corporations had accumulated losses of around Rs 10,200 crore, while their combined outstanding liabilities and loans stood at Rs 9,912.10 crore as of September 30. These include Rs 2,916.80 crore in pending employee provident fund contributions, Rs 603.88 crore in retirement benefits, Rs 664.17 crore in salary revision dues and Rs 356.76 crore in other staff payments.

The bus fare hike has been announced soon after the state government hiked the cost of milk and other milk products, based on the total solid fat content. The state government had announced a basic hike of Rs 8 per litre of milk from November 1.

Fare increase

While the stage-wise fare chart is yet to be released, as per a press release, fares for BMTC ordinary services will increase by Rs 4 for journeys up to 2 km and by Rs 6 for journeys between 2 km and 4 km. The maximum increase for longer journeys will be Rs 12.

For BMTC's air-conditioned Vajra services, fares will increase by Rs 5 for journeys up to 6 km and by Rs 10 for journeys between 6 km and 18 km. The maximum increase for longer journeys will be Rs 15.

On Shakti scheme

The minister clarified that the fare hike was not linked to the Shakti scheme, adding that the government reimburses the transport corporations for every ticket issued to women under the scheme.

He said the Karnataka government had paid Rs 16,589 crore towards reimbursements under the scheme, while around Rs 5,000 crore remained pending. He added that the government's total pending payments to the four transport corporations stood at Rs 6,362 crore, including the reimbursement dues.

The minister also said that around 74.40 lakh women travel free every day under the Shakti scheme

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