Bhubaneswar, June 18: Fares of private buses have come down today by one to two paise per kilometre following diesel price cut on Monday. This is the first fare reduction after the state government approved the automatic revision formula on June 4.
With the revision, the fare of ordinary buses has come down to 60 paise per km from 61 paise, and for express buses it is 63 paise.
The fare for deluxe buses has gone down by two paise. The new fare is 84 paise per km. Similarly, the fare for air-conditioned deluxe buses is now Rs 1.05 per km, following a reduction of two paise.
General secretary of All Odisha Private Bus Owners' Association Debendra Sahu said: "It was done according to the automatic fare revision that was approved by the state government earlier this month. The reduction was made after the transport commissioner notified it."
The state government in its notification about the automatic fare revision formula had made it clear that fare would be hiked when the diesel price goes up by Rs 2 per litre. In case of cut in diesel price, irrespective of the amount, there would be downward revision of fare.
According to the norm, the fare reduction will be one paise per kilometre for ordinary and express buses and two paise per kilometre for deluxe and AC deluxe buses when fuel price goes down up to Rs 2 per litre.
The diesel price was reduced nationwide by Rs 1.35 per litre on June 15 and with the local taxes added, the overall reduction in diesel price in the state was Rs 1.42 per litre. According to the formula, the authorities were forced to reduce the fare.
"We had been demanding the introduction of this formula for a long period of time and now people and government can see how it is becoming effective," said Sahu.
The state government had on June 4 increased private bus fares between 4 and 8 paise per kilometre as the diesel price during that period had gone up by around Rs 7 per litre.
The fare was revised downwards in February 11 when the diesel price was Rs 50.68 per litre. In the past four months, the diesel price has been revised several times, and at present it is Rs 57.61 per litre.
