MSRTC Mulls Fare Hike After Diesel Price Rise
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MSRTC considers bus fare hike after diesel price surge. No immediate increase. Proposal to be submitted to State Transport Authority.
Mumbai, May 18 (PTI) A proposal to increase Maharashtra State Road Transport Corporation (MSRTC) bus fares is under consideration following a sharp rise in diesel prices, though no immediate hike will be implemented, Transport Minister Pratap Sarnaik said on Monday.
Chairing a review meeting at Mantralaya, Sarnaik said the recent increase in diesel prices would impose an additional annual burden of around Rs 124 crore on the state-run corporation. The meeting was attended by MSRTC vice-chairman and managing director Dr Madhav Kusekar and other senior officers.
"MSRTC consumes an average of 10.87 lakh litres of diesel every day. Diesel supplied by Indian Oil Corporation Limited has become costlier by Rs 3.10 per litre over the past week, with the price increasing from Rs 88.21 to Rs 91.31 per litre," Sarnaik pointed out.
The hike in fuel prices has led to an additional expenditure of about Rs 33.7 lakh per day for the corporation, which translates into nearly Rs 10 crore a month and around Rs 124 crore annually, the minister added.
MSRTC is already under financial strain and incurred a loss of approximately Rs 76 crore in April 2026, he said.
Given the rising fuel costs, a fare revision may become necessary, Sarnaik asserted.
However, Sarnaik clarified that no fare increase would be introduced immediately.
"A proposal linked to the diesel price hike will be submitted to the State Transport Authority for approval after consultations with the Centre and the state government, and a final decision will be taken only after the authority grants its clearance," he said.
The government is also examining measures to minimise the burden on ordinary passengers, including fuel conservation, wider deployment of electric buses, expenditure control and steps to boost revenue, Sarnaik informed.
Sarnaik noted that MSRTC remains an essential public transport service, particularly for people in rural areas, and maintaining uninterrupted services while ensuring financial stability continues to be one of the corporation's principal challenges.
Chairing a review meeting at Mantralaya, Sarnaik said the recent increase in diesel prices would impose an additional annual burden of around Rs 124 crore on the state-run corporation. The meeting was attended by MSRTC vice-chairman and managing director Dr Madhav Kusekar and other senior officers.
"MSRTC consumes an average of 10.87 lakh litres of diesel every day. Diesel supplied by Indian Oil Corporation Limited has become costlier by Rs 3.10 per litre over the past week, with the price increasing from Rs 88.21 to Rs 91.31 per litre," Sarnaik pointed out.
The hike in fuel prices has led to an additional expenditure of about Rs 33.7 lakh per day for the corporation, which translates into nearly Rs 10 crore a month and around Rs 124 crore annually, the minister added.
MSRTC is already under financial strain and incurred a loss of approximately Rs 76 crore in April 2026, he said.
Given the rising fuel costs, a fare revision may become necessary, Sarnaik asserted.
However, Sarnaik clarified that no fare increase would be introduced immediately.
"A proposal linked to the diesel price hike will be submitted to the State Transport Authority for approval after consultations with the Centre and the state government, and a final decision will be taken only after the authority grants its clearance," he said.
The government is also examining measures to minimise the burden on ordinary passengers, including fuel conservation, wider deployment of electric buses, expenditure control and steps to boost revenue, Sarnaik informed.
Sarnaik noted that MSRTC remains an essential public transport service, particularly for people in rural areas, and maintaining uninterrupted services while ensuring financial stability continues to be one of the corporation's principal challenges.
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