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The Bus and Car Operators Confederation of India (BOCI) has demanded that the passenger tax should be waived off from this quarter and business loans should be rescheduled in view of the crisis triggered by the coronavirus pandemic.
BOCI is a pan India organization and 15 lakh buses are operated by its members. In Maharashtra alone there are 80,000 buses.
President of BOCI, Prasanna Patwardhan told BusinessLine that a letter has been written to RBI seeking rescheduling of the loans in view of the massive business downturn. The association will also ask state governments to waive off the passenger tax, which is levied on every operating passenger vehicle.
Bus operators have to pay monthly about ₹40,000 on every bus, which is a substantial outgo. The tax waiver should be implemented for this quarter which would be a great help for the industry, he said.
Patwardhan, who is also the CMD of Prasanna Purple– one of the large mass transit operators in the country – said that to cope up this business disruption, 15 per cent of the scheduled bus trips have been cancelled by all the operators. The overall passenger occupancy is down by about 20 per cent, he said.
He added that due to the pandemic, the tourist business has been completely decimated. Therefore, the industry needs protection from the government.
A former Secretary of Maharashtra government observed that passenger bus transport is already under stress due to toll collection, high operating costs, and bribes sought by the highway policemen and Regional Transport Office personnel. These issues need to be addressed on an emergency basis for the survival of the industry.
Getting good drivers and maintenance of staff is also a challenge. Moreover, this is the only cheapest mode of transport for passengers who don’t get rail reservations and those who cannot afford air travel. Intercity buses are the best alternative available across the country, the former Secretary said.
In such times of crisis the industry needs support and government should step up the support system for passengers and help the industry that is already reeling in crisis, former Secretary added.
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