RTC officials told to explore ways to increase income
Transport Minister Puvvada Ajay Kumar exhorted TSRTC officials to explore ways to increase the income of the corporation through ticket sale by another ₹2-3 crore a day, as this will go a long way in stabilising its finances.
The cash-starved corporation is presently earning a revenue of over ₹9 crore a day through sale of tickets. “The government is ready to extend a guarantee for a loan of another ₹500 crore for payment of pending Credit Cooperative Society’s dues, he said on Sunday during a review meeting with senior officials on RTC’s financial situation. The meeting reviewed the situation related to earnings, expenditure and outstanding debt of the corporation.
The State government had made budgetary allocation of ₹1,500 crore for the corporation and an off budget allocation of another ₹1,500 crore. The amount pertaining to budgetary allocation was being released on a monthly basis while the government allowed the corporation to raise ₹1,000 crore, as part of off budget allocations. The loan of ₹500 crore was released and the balance ₹500 crore would be released soon.
The Minister discussed ways in which funds released to RTC should be utilised and said that part of the funds would be used for the benefit of retired employees in repayment of family pensions, and leave encashment.