VMC Bus Fare Hike Rolled Back After Backlash

Key Highlights:

•    The contractor for Vadodara's bus service raised fares before the elections.
•    Fare increase linked to contractor's unpaid dues, including pandemic-related services.
•    After VMC promises to settle dues, the contractor agrees to roll back the fare hike.

The contractor handling the municipal bus service under the Vadodara Municipal Corporation's (VMC) Smart Municipal program reversed a decision to raise bus tickets. The increase before the Lok Sabha elections astonished many, including VMC officials.

The contractor running the city bus service raised the fares on April 1. The minimum fare for the first 4km of travel, formerly INR 5, has been hiked to INR 7.

According to sources, the contractor had been raising certain difficulties with the VMC, including payment for services during the Covid-19 pandemic. "It appears that the decision to increase fares was made to compensate for the VMC's dues," remarked an official.

According to the official, the contractor informed the VMC about the proposed fare increase before April 1. The contractor waited for a response from VMC before proceeding with the hike.

This was allowed under the contract, which says that he cannot charge more what the Gujarat State Road Transport Corporation (GSRTC) charges. "The GSRTC has increased the minimum fare to INR 9. Effectively, the contractor can charge any amount less than INR 9 as the minimum fare," the officer explained.

According to sources, the contractor was invited to a meeting with VMC high-ranking officials. Officials told him that they would take care of his past dues and other demands. On the other end, the contractor agreed to reverse the fare increase.

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CMV360 Says

The Vadodara bus fare hike controversy underscores the need for transparent communication between authorities and contractors. While financial issues may have driven the increase, the timing raised eyebrows. The swift reversal post-VMC intervention emphasizes the role of government oversight in maintaining public trust. Clarity and defined dispute resolution mechanisms can prevent such controversies in the future.