PMPML faces ₹670 operational loss in FY 22-23

The last financial year 2022-23 saw the PMPML generating a total Rs510 crores in revenue even as expenses doubled to Rs1,162 crores

PUNE: The operational losses of the Pune Mahanagar Parivahan Mahamandal Limited (PMPML) are increasing year-on-year to the extent that funds provided by both the Pune Municipal Corporation (PMC) and Pimpri-Chinchwad Municipal Corporation (PCMC) are proving inadequate to run its operations. The last financial year 2022-23 saw the PMPML generating a total Rs510 crores in revenue even as expenses doubled to Rs1,162 crores, resulting in losses despite both municipal corporations jointly giving the public transport utility Rs670 crores.

Among the reasons behind the increase in PMPML’s operational losses are the surge in fuel (diesel and CNG) costs. (HT PHOTO)

As per information shared by the PMPML, the two consecutive financial years of 2020-21 and 2021-22 saw operational losses of Rs639 crores as all bus services were closed except those that had to run for emergency workers. Due to the Covid-19 pandemic, revenues fell sharply from Rs547.73 crores in the financial year 2019-20 to Rs164.61 crores in the financial year 2020-21 only to increase slightly to Rs291.17 crores in the financial year 2021-22. In the last financial year 2022-23, the revenue generated by the PMPML rose to Rs510 crores even as expenses doubled to Rs1,162 crore as all routes across Pune, Pimpri-Chinchwad and Pune rural were made operational in addition to several new routes being started in response to passenger demand.

Among the reasons behind the increase in PMPML’s operational losses are the surge in fuel (diesel and CNG) costs, large amounts having to be spent on the large number of contract buses in the PMPML fleet, and several new routes started in rural parts of Pune district.

Om Prakash Bakoria, PMPML chairman and managing director (CMD), said, “We want to give the best quality service to our passengers and for this, both the municipal corporations are helping us in all possible ways. Now, even the Pune Metropolitan Region Development Authority (PMRDA) is part of the PMPML as its commissioner will be on our board of directors. We will be getting financial help from the PMRDA as well, so we are planning to increase the number of buses in our fleet and improve passenger facilities across the city.”