Even after launch of new buses, PMPML’s losses increase by Rs 50cr
While speaking to media persons, Munde accepted that despite the increasing number of commuters and buses on road, the loss has also increased.pune Updated: Aug 18, 2017 12:07 IST
The public transport utility Pune Mahanagar Parivahan Mahamandal Limited’s (PMPML) losses have touched Rs 343 crore, a rise of almost Rs 50 crore as compared to the previous year.
PMPML’s chairman and managing director Tukaram Munde submitted his audit report to the Board of directors and gave an idea of the financial status to the board.
While speaking to media persons, Munde accepted that despite the increasing number of commuters and buses on road, the loss has also increased.
He said that there are various reasons for the increasing loss of the public transport. One of the major reasons is CNG buses. Though they are environment friendly, the maintenance cost of the bus is high. It is difficult to keep even 70% of the total CNG fleet on road. On the contrary, diesel buses have less maintenance cost and the utility is able to put 90% diesel buses on the route. Break down ratio of the CNG buses is high.
Munde also said that the cost of the CNG increased last year. The PMPML had excess man power. As the man power ratio is high, it is bringing financial burden on the utility. The salaries of the staff also increased which is also a major component.These are the various reasons for the increasing loss of the utility.
Both Pune and Pimpri Chinchwad Municipal Corporations are the shareholders of the PMPML and are bearing this loss every year. The PMC is bearing 60% of the loss and Pimpri-Chinchwad shares the remaining 40%.
First Published: Aug 18, 2017 12:07 IST