Hyderabad: Telangana State Road Transport Corporation (TSRTC) has become a burden to Greater Hyderabad Municipal Corporation (GHMC) in paying reimbursement due to losses incurred by RTC city region.
RTC has sent a letter to the state government that its city region has incurred losses to the tune of Rs 400 crore in 2016-17 financial year according to audit report. RTC has requested the state government to direct the GHMC to pay the reimbursement amount for the previous financial year.
Accordingly, the state government has asked GHMC to pay the amount. But GHMC informed that it is unable to pay the amount to RTC due to the financial restraints of the corporation.
Meanwhile, at state level RTC was slammed with about Rs 700 crore losses including GHMC area in the 2016-17 year. TSRTC Managing Director GV Ramana Rao said that in GHMC limits, RTC got Rs 400 crore losses and in other areas in the state got losses about Rs 300 crore. He said that GHMC did not pay any amount for 2016-17 year. Also that RTC is getting reimbursement from GHMC for the losses incurred in its limit, but the RTC is not getting any funds from the state government towards losses incurred in the state.
State bifurcation paying of reimbursement by GHMC to RTC for its losses has started. In 2015-16 financial year, Chief Minister K Chandrasekhar Rao asked the GHMC to pay RTC for its losses due to running the buses in GHMC limits. On the direction of the Chief Minister, the GHMC has paid '336 crore in two phases. For the financial year 2016-17, before audit report came, RTC asked the state government to direct GHMC to pay '273 crore as reimbursement.
The state government asked the GHMC to pay this amount to RTC. GHMC in its standing committee discussed this issue and decided that it is not possible to pay yearly reimbursement to RTC because of its financial situation.
In the meanwhile, a week back RTC has sent another letter to the state government and infor-med according to the audit report that RTC city region suffered with Rs 400 crore losses in 2016-17 year and requested to direct GHMC to pay this amount.
The Municipal administration officials said that the file related to reimbursement to RTC is in circulation. They said finally the Chief Minister K Chandrasekhar Rao has to take a decision on this issue.
Loss in Revenue
400cr RTC said according to the audit report in 2016-17, Hyderabad city region faced a loss of about Rs 400 crore.
700cr Total losses for RTC in the state: about Rs 700 crore.
(In GHMC limits Rs 400 and in other areas of the state, Rs 300 crore)
- GHMC told the state government that it is not possible to pay yearly reimbursement to RTC due to financial problems.
- The Municipal administration department sent the file for circulation.
- Officials said finally CM KCR has to take a decision on this issue.
