Monday 29 August 2016

BEST's per passenger costs is Rs 21.41 and Income per passenger is Rs 12.88


The rapid loss of passengers for the bus services run by the BEST administration in Mumbai has hit the bottom line of the BEST's finance's. In 2015-16 the BEST has incurred a loss of Rs 905.3 crores, bringing the per passenger cost to Rs 21.41/- . In comparison the income generated comes to Rs 12.88. This data has been revealed in a reply to a query filed by RTI Activist Anil Galgali.
RTI Activist Anil Galgali had sought information about the total number of passengers usage, Income and operational expenses. In a response, the BEST administration informed Galgali that, in 2015-16, 106 crores 10 lakhs 84000 passengers availed the services of the BEST bus service, the Revenue generated from this was Rs 1367.11/- crores. The operational expenses was Rs 2272.41/- crores, with the losses being Rs 905.3/- crores. The per passenger cost works out to Rs 21.41/- , where as the income stands at Rs 12.88/-  per passenger. Almost 29 lakh 7 thousand 80 passengers travel on BEST busses daily. The BEST administration has paid Rs 139.68/- crores in 2014-15 and Rs 136.75/- crores in 2015-16 as taxes to various authorities. In a period of 7 years from 2010 to 2016 the BEST administration wrote 11 times to the Urban Development Ministry, Transport Ministry to cause the various Taxes like the Toll tax of the MSRDC, Motor vehicle tax, passenger tax, Surcharge, Registration licence charges and VAT , which the government has ignored.  
To ensure that the bus fares are not increased the MCGM gave a grant of Rs 150/- crores in 2014-15, since then the MCGM has also turned a blind eye towards the BEST administration. Along with the grant from MCGM, if the BEST receives a waiver of tax payments the situation for the BEST will considerably improve for the BEST to come out of the losses claimed Galgali in a letter addressed to CM Devendra Fadnavis and MCGM Commissioner, demanding further that the State government and the MCGM should bail out the BEST administration in its critical times as the BEST services are utilised by the common man and ensures affordable and seamless travel for them across Mumbai and beyond. He further appealed to the state government that, to strengthen the Public Transport system in Mumbai, the government should constitute a separate fund, which can be benevolent for BEST stated Galgali in an emotional appeal.

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