The Chandigarh Transport Undertaking (CTU) is contemplating increasing the fare by up to 20% and a proposal for the hike has been submitted to the UT administration.
In the past three years, the CTU management had submitted similar proposals to the higher authorities, but they were not considered and as a result of which the CTU incurred heavy losses.
According to sources, the CTU is incurring loss of more than Rs 3 crore annually, and the frequently increasing diesel prices is also adding around Rs 2 lakh per day to the existing losses.
A present, 315 buses ply on different routes within the city, connecting it to SAS Nagar and Panchkula, carrying 1.5 lakh passengers on daily basis. The CTU has a sanctioned fleet of 517 buses and it purchased 219 new mid-size buses.
Confirming the development, transport director TPS Phoolka said though a proposal had been sent, fares would be revised only after getting approval from the higher authorities.
According to the proposal, for ordinary buses the fare will have three slabs, while for AC buses the fare has been divided into four slabs. At present, there are only two slabs of fares in both categories.
Currently, the commuters have to shell out Rs 5 for 5 km and Rs 10 for more than 5 km for non-AC buses and Rs 10 for up to 5 km and Rs 15 for more than 5 km for travelling in AC buses.