NTC rejects demand for bus fare hike

Rajmi Manatunga

COLOMBO: The National Transport Commission (NTC) yesterday rejected demands by private bus operators for a bus fare hike following the latest diesel price increase.

NTC Chairman L. A. Wimalaratne told the Daily News that in terms of the National Bus Fare Policy, Saturday's fuel price hike did not provide a sufficient cause for increasing private bus fares.

"Private bus fares were increased on July 4 taking into account the increase in various costs faced by bus operators including diesel, spare parts etc.

According to the National Bus Fare Policy, a diesel price increase could result in a further fare hike only if such diesel price increase by itself amounts to a 4.5 per cent rise in the bus operators' over-all cost," he said.

Wimalaratne pointed out that Saturday's diesel price hike did not fulfil this criterion and therefore did not confer any right on the private bus owners to demand a fare hike. However, Chairman of the Lanka Private Bus Owners' Association (LPBOA) Gemunu Wijeratne said they will request the transport authorities to increase at least the minimum fare of Rs 5, even though a fare hike is not sanctioned by the Policy at this point.

"We are aware of the difficulties a fare hike might cause to the commuters. However, private bus owners too are in a similar plight owing to constant fuel price hikes. Yet, we are ready to forego a fare hike if the Government is willing to grant a fuel subsidy," he said.

The All Ceylon Private Omnibus Owners' Federation also called upon the Government to either increase bus fares by 10 per cent or provide a fuel subsidy to private bus operators. The price of diesel was increased by Rs 4 on Saturday bringing the price of a litre of diesel to Rs 75.