The Hindu Business Line : KSRTC to buy 600 buses

COMMERCIAL vehicle makers Ashok Leyland and Tata Motors stand to benefit as the Kerala State Road Transport Corporation (KSRTC) will buy 600 buses next year to upgrade its fleet and introduce new services.

"Normally we buy buses from Ashok Leyland and Tata at a ratio of 2:1," official sources in the KSRTC said.

If the corporation follows the same ratio in its proposed fleet upgrade, it will buy 400 buses from Ashok Leyland and the rest from Tata Motors.

The Road Transport Minister, Mr N. Sakthan, said on Thursday that KSRTC would buy 600 buses next year to introduce new services, including 25 air-conditioned express services.

The sources said KSRTC, which incurs a loss of Rs 9 crore every month, may go for loans from institutions such as the Kerala Transport Development Finance Corporation to buy the buses.

KSRTC bought 160 buses as part of the 100-day action plan of the present State Government. It plans to phase out around 350 buses that are over 10-years old next year.

KSRTC had 4,508 buses in May this year and operated an average of 3,400 buses a day. Its average operating revenue a day was Rs 1.90 crore in the month.