Post News Network
Bhubaneswar, Jan 22: The state government Thursday decided to reduce the bus fare by 2 paise per km following a reduction in diesel price recently.
Commerce and transport minister Ramesh Chandra Majhi said fare for ordinary buses would be reduced from 60 to 58 paise, express buses from 63 to 61 paise, deluxe 83 to 81 paise and AC deluxe from Re 1.02 paise to Re 1.
The decision was taken at a technical committee meeting held under the chairmanship of the transport commissioner.
The government would come out with a notification in this regard soon, the minister added.
In the wake of a Rs 2.25 per litre reduction in diesel prices, the committee had recommended a reduction of Rs 2 paise in bus fares.
The government had reduced the fares by 2 paise when the diesel price was reduced by Rs 2.16. The reduction was effected December 20.
The bus association informed the committee that fuel price was reduced by 95 paise if hike in VAT is taken into account. The association proposed a reduction of one paisa as there is an increase in maintenance costs.
