Even as the Karnataka government celebrates the grand milestone of issuing its 500th crore free bus ticket under the much-publicised Shakti Yojana on July 14, the harsh reality behind the scenes paints a very different picture — one of mounting debt, unpaid bills and financial distress for the state’s transport corporations.
The Congress government’s Shakti Yojana launched on June 11, 2023 has undoubtedly brought relief to crores of women passengers. For many, the promise of free bus travel has meant better access to schools, offices, hospitals and temples across the state. The scheme has grown so popular that today, over 499.9 crore free tickets have already been issued by the four state-run transport corporations: KSRTC, BMTC, KKRTC and NWKRTC.
The largest number of women passengers have travelled on the Bangalore Metropolitan Transport Corporation (BMTC). 157.33 crore tickets have been provided to women in BMTC, 151 crore tickets in KSRTC, 117 crore in North West Karnataka Transport Corporation and about 72 crore in Kalyana Karnataka Transport Corporation under the Shakti Yojana, the Road Transport Department said.
While the largest number of women passengers travelled on BMTC, in terms of ticket values, tickets worth Rs 4,786 crore have been provided to women in KSRTC, Rs 3,115 crore in North West Karnataka Transport Corporation, Rs 2,521 crore in Kalyana Karnataka Transport Corporation and Rs 2,169 crore in Bangalore Metropolitan Transport Corporation.
However, while women enjoy this benefit, the corporations running these buses are buckling under financial strain. The reality is that the same government that proudly claims success through the Shakti scheme has failed to pay its dues on time. The unpaid bills are piling up every month, pushing the corporations into a debt spiral.
NWKRTC staring at a massive Rs 545 crore hole
The North West Karnataka Road Transport Corporation (NWKRTC) alone is staring at unpaid government dues of Rs 545 crore. While the corporation submits monthly bills worth about Rs 130 crore for reimbursement, the government reimburses only about 80 per cent of that amount. The leftover balance every month adds up — resulting in a huge backlog that has now crossed half a thousand crores.
Due to these dues, the NWKRTC has been unable to pay its mandatory PAP contributions to its employees, with arrears mounting to over Rs 100 crore. The staff, many of whom operate on meagre salaries, now fear delays in salary credits and future benefits.
Corporations forced to take fresh loans
Instead of clearing these mounting dues, the state government’s response has been to push the corporations towards borrowing more money to stay afloat. The transport corporations have now been allowed to raise loans worth Rs 2,450 crore to manage day-to-day operations — a desperate measure that only adds to their interest burden.
Insiders warn that if the government continues to delay payments, the corporations will find it increasingly difficult to manage fuel, maintenance and even pay salaries, directly threatening the very services that lakhs of women rely on daily.
A political show without financial accountability
While the Chief Minister Siddaramaiah, Deputy CM D.K. Shivakumar and Transport Minister Ramalinga Reddy smile for cameras during the 500th crore ticket ceremony, the employees driving this scheme forward are left to wonder when they will be paid fully, and whether their organisations can survive this financial neglect.
Transport experts point out that free schemes like Shakti cannot sustain themselves if the government does not back them up with timely reimbursements. Failure to do so weakens public transport services in the long run, hurting the very women who are supposed to benefit.
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