Bengaluru, Jan 2 (IANS): The Karnataka government has increased the Road Transport Corporation (RTC) bus fare by 15 per cent and the new fare will come into effect from January 5. Minister for Law H.K. Patil made the announcement in this regard while briefing the media following the Cabinet meeting.

Minister Patil stated at Vidhana Soudha in Bengaluru on Thursday that the Cabinet has made a decision in this regard and the bus fare of all four transport corporations have been revised. The hike in ticket fare is expected to bring Rs 7.84 crore revenue every day to the Karnataka State Road Transport Corporation (KSRTC).

"On January 10, 2015, Bengaluru Metropolitan Transport Corporation (BMTC) prices were last revised... marking the first revision in 10 years. Back then, the daily diesel expense for Karnataka's four transport corporations stood at Rs 9.16 crore, which has now surged to Rs 13.21 crore,” Minister Patil said.

The daily staff expenses for these transport corporations, which were Rs 12.85 crore, have also risen to Rs 18.36 crore, adding an additional burden of Rs 9.56 crore per day. Considering these factors, the fare revision was implemented, Minister Patil stated.

All transport corporations, including city buses and luxury buses, have been subjected to a 15 per cent fare increase. This is expected to generate an additional monthly revenue of Rs 74.85 crore, he said.

For the "Shakti" free travel for women scheme, Rs 5,015 crore has been allocated in the current financial year, with a monthly grant of Rs 417.92 crore being released to the four corporations, Minister Patil stated.

The minister further clarified that this will not burden the state's treasury and emphasized that Karnataka has been implementing excellent financial responsibility.

Minister for Transport Ramalinga Reddy reacting to the development stated that a unanimous decision has been taken in the cabinet meeting to hike the bus fare.

"Previously, the bus ticket price was increased in 2020. In five years, the diesel fare and expenditures have increased. The staff expenditure has increased by 18 per cent in this period. The KSRTC needs to provide salaries and survive. Though the profit has increased, at the same time expenditures have also gone up," Minister Reddy stated.

The Shakti free travel scheme for women in RTC buses across the state has benefitted.

The previous BJP government has left thousands of crores of loans.

During our tenure, there is no crisis as far as disbursement of salaries are concerned.

There was an issue with the previous BJP government regarding salaries of staff. When compared to other states, the ticket price in the state is lesser, Reddy maintained.

"Our government has the responsibility of paying the loans taken during the previous regime. The profits have gone up nearly to Rs 1,000 crore. It is not a new year shocker. The hike was impending and we have done it now. The decision is taken to save the organisation," Minister Reddy stated.

Condemning the decision to increase ticket fare by 15 per cent in government buses, the BJP has warned that it will raise its voice.

State BJP President B.Y. Vijayendra stated: "Chief Minister Siddaramaiah, how can you boast to the people of Karnataka that you have delivered the 'Panchabhagya' schemes? While failing to allocate funds for the Shakti Scheme, you have now caused the state transport corporations to tread a path of losses.

"By increasing bus fares by 15 per cent, you have essentially drawn a burden on the people who rely on the public transport system. The slogan now seems to be: “Free for women, but at the cost of men."

The Shakti Scheme is comparable to “Buy-1-Get-1” offers displayed in stores to attract customers, a gimmick designed to deceive the people of the state, he slammed.

"Congress-led Karnataka government's decision to hike bus fares by 15 per cent is unscientific and anti-people. The BJP will raise its voice against this decision on behalf of the public," Vijayendra said.

Leader of the Opposition R. Ashoka said: "Since coming to power, the Congress-led Karnataka government has been relentlessly burdening common people through price hikes and tax increases. The latest blow is a 15 per cent hike in bus fares.

"CM Siddaramaiah, every new day brings another price hike under your administration. How much more taxes and price hike must Kannadigas pay to fill the insatiable appetite of your government's greed?" Ashoka wondered.

In another major decision, the state Cabinet has decided to bifurcate the Hubballi-Dharwad City Municipal Corporation and establish a separate Dharwad City Municipal Corporation.

Dharwad is recognised as the cultural hub of Karnataka. It is the hometown of three Jnanpith awardees and is famously known as "Vidya Kashi" for its rich educational heritage.

Following the announcement of a separate city municipal corporation for Dharwad, celebrations took place in front of the Hubballi-Dharwad Municipal Corporation office located in Dharwad.

The Dharwad Separate Corporation Struggle Committee marked the occasion by distributing sweets and bursting firecrackers.

The demand for bifurcating the Hubballi-Dharwad Municipal Corporation was first raised in 2014.

Dharwad residents had been advocating for a separate corporation due to the city's population surpassing 6.5 lakh.

As per norms, a municipal corporation requires a population of over 3.5 lakh. Consequently, the Cabinet meeting has now decided to declare Dharwad as an independent municipal corporation.

The minister also informed the media that Chief Minister Siddaramaiah will announce the date for the state budget presentation.

In total 23 issues discussed and decisions were taken in the cabinet meeting. Minister Patil has also stated that Rs 10.54 crore has been allotted for strengthening of Goshalas.