RTC loses Rs 128 crore in five days

Hyderabad: The ongoing strike has cost the RTC about Rs 128 crore in losses over the last five days. With most buses staying off roads, The corporation has lost Rs 70 crore in AP and Rs 58 crore in Telangana state due to non operation of buses.

This is a major blow to the corporation, whose finances are in poor shape. The RTC is paying close to Rs 14 crore each day as interest on its loans. Overall, the corporation is Rs 4,000 crore in the red.

“The RTC is incurring a daily loss of Rs 14 crore which goes in payment of interest for the Rs 4,000 borrowings, although there are no operational losses. With the strike, there is almost complete revenue loss. Even where we are operating buses, we are unable to get revenue,” said a senior APSRTC official.

Almost all the buses were off the road in the first two days after the strike began on May 6, but officials could run a small number of buses on the following days. Since they are being run with temporary staff, who are given daily allowances, it is an extra cost for the RTC.

Meanwhile, labour minister K. Atchennaidu, who met the RTC employee union leaders with other ministers, said the union leaders had sought two days to discuss the issues with other leaders. “They will let us know about their decision in two days,” he said