But, two-wheeler owners say it is difficult for them to pay more than ₹100 per liter for petrol
The recent reduction in fuel prices has brought relief to the cash-strapped Road Transport Corporations (RTCs). An official of the Karnataka State Road Transport Corporation (KSRTC) said the reduction in diesel price by Rs 19.47 per liter would help the corporation save an estimated Rs 90 lakh per day.
“Diesel consumption has been increasing gradually since services resumed in June. Earlier it was 300 KL per day, and now depending on the bus operation it has become 500 KL. We are likely to save around Rs 90 lakh per day due to lower prices,” said the official.
After both the central and state governments reduced taxes on the fuel, the price of diesel came down from ₹104.50 per liter to ₹85. The price is lower for RTC as they buy fuel at wholesale rates. According to the official, after the revision of rates, RTCs are procuring fuel at around Rs 81 per liter depending on the location.
Bangalore Metropolitan Transport Corporation (BMTC) consumes around 2 lakh liters of diesel a day and this reduction will help the corporation save Rs 38 lakh per day. “After the continuous increase in fuel price, the operating expenses increased to ₹65 per kilometer, while the earning per kilometer was around ₹35. A BMTC official said the reduction in fuel prices would help us reduce operating expenses to some extent.
For more than a year and a half, due to the COVID-19 pandemic, all the four RTCs of Karnataka are dependent on the state government to pay salaries.
Petrol price a burden
Transport operators have got a lot of relief from the fall in diesel prices, but vehicle owners say that it will not have any significant effect. The government’s decision to slash fuel taxes and call it a ‘Deepawali gift’ did little to impress motorists who are grappling with rising costs of fuel and essential commodities.
Responding to Karnataka Chief Minister Basavaraj Bommai’s announcement, Whitefield Rising posted on social media: “Sir, slashing the price a bit after reaching 113+ is no gift. Petrol is still ₹100+. The common man and all of us feel it with great fervor. Especially after the pandemic when jobs are few and incomes are tight. “
Many people feel that the government’s decision has little to do with their plight, and more to do with the results of the recent by-elections in Sindgi and Hangal.
After reduction in taxes, the price of petrol has come down from ₹113.93 to ₹100.63 per litre.
Ashwin ji, a motorist, said, “The price of petrol is more than ₹100 even after the reduction. For common people, who have two-wheelers, spending ₹100 per liter is a huge burden.”
Retailers, on the other hand, are upset over the reduction in fuel prices. Before Diwali, many shops had stored extra petrol. He told that the reduction in taxes will result in financial loss for him.
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