Private bus operators in West Bengal are facing significant daily revenue losses due to the state government's free bus travel scheme for women. They are proposing a 'kilometre scheme' to integrate their buses into the state fleet for a fixed payment per kilometre operated.
The situation highlights the economic impact of populist government policies on private enterprises and the challenges faced by essential public transport services when competing with subsidized alternatives. It also underscores the long-standing issue of fare adjustments failing to keep pace with rising operational costs in the sector.
Private bus operators in West Bengal are facing substantial financial strain following the state government's introduction of free bus travel for women on state-run services. Operators report daily revenue losses ranging from Rs 500 to Rs 700 per bus, as women passengers increasingly opt for the free services where available.
To mitigate these losses, private operators are advocating for the implementation of a 'kilometre scheme.' Under this model, privately owned buses would be integrated into the state transport department's fleet. Private owners would continue to supply the buses and drivers, and maintain the vehicles, in exchange for a fixed payment per kilometre operated. The state government would collect all passenger fares.
Industry representatives, including Tapan Banerjee of the Joint Council of Bus Syndicates and Rahul Chatterjee of the All Bengal Bus Minibus Coordination Committee, highlighted that private buses form the backbone of public transportation, serving over 85% of passengers. They noted that routes with a high frequency of state-run buses, such as Siliguri-Cooch Behar and certain routes in Kolkata, have seen a significant drop in private bus ridership.
Adding to their financial woes, bus fares have not seen an official increase since 2018, despite a recent surge in diesel prices. While private operators have been charging higher fares informally since the COVID-19 pandemic, the lack of official revision exacerbates their operating losses. Some operators, like Mohammed Jubair on route number 73 in Howrah, have not experienced a passenger decrease due to a lack of direct competition from state buses on their specific routes.