Automatic mechanism to fix bus fares in Odisha implemented

The Odisha government on Thursday announced implementation of an automatic mechanism to fix bus fares with rise and fall in fuel price.

As per the new mechanism, bus fares would automatically go up by one paisa for ordinary and express category buses and two paise per km for deluxe and AC buses once the diesel price goes up by Rs 2. Fares would also similarly come down by one paisa for ordinary and express buses and two paise per km for deluxe and AC carriages if diesel price goes down by Rs 2.

Commerce and Transport minister Ramesh Majhi announced the implementation of the automatic mechanism, a long-standing demand of bus owners that would see bus fares rise and fall based on the rise and fall of fuel prices.

The state government also increased fares of all private buses ranging from 4 to 8 paise a kilometre following continuous hike in fuel prices.

The latest revision has increased the fare for ordinary and express buses by 4 paise a kilometre, while the ticket price for deluxe buses has gone up by 6 paise and air-conditioned buses by 8 paise.

The fare for ordinary buses has gone up from 57 paise to 61 paise a kilometre and express buses from 60 paise to 64 paise, while the fare for deluxe buses has gone up from 80 paise to 86 paise a kilometre, and for AC deluxe buses, it has been increased from 99 paise to Rs 1.07.

Bhubaneswar AC city bus

Sources in the department, however, clarified that yesterday’s hike was based on the recommendation of the technical committee after the last two hikes in petroleum prices. This is the last time this exercise is resorted to before the automatic mechanism comes into force, they said.

Bus Owner’s Association welcomed the decision stating that Odisha is third state after Maharashtra and Kerala to have the automatic fare-fixation mechanism.

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