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Karnataka's 'Shakti' Scheme Puts Bus Services on Ventilator; ₹8,095 Cr Debt Looms, Fares May Rise!
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News18•02-10-2026, 19:29
Karnataka's 'Shakti' Scheme Puts Bus Services on Ventilator; ₹8,095 Cr Debt Looms, Fares May Rise!
  • •Karnataka's four government road transport corporations face a staggering debt of over ₹8,095 crore.
  • •The 'Shakti Scheme' offering free travel for women has severely impacted the corporations' financial stability.
  • •The state government has reimbursed only ₹15,305 crore out of ₹22,230 crore spent on free travel, with ₹5,648 crore still pending.
  • •Corporations struggle to cover daily expenses, including salaries and bus maintenance, leading to potential fare hikes.
  • •An Atul Tiwari committee report will guide the state cabinet's decision on increasing bus fares, potentially burdening ordinary passengers.

Key Questions Answered

Karnataka's four transport corporations are facing a severe financial crisis with total liabilities exceeding ₹8,095 crore, driven largely by unpaid government reimbursements for the free 'Shakti' scheme, rising diesel prices, and growing operational costs.

The state government owes approximately ₹5,648 crore to ₹5,651 crore in pending reimbursements to the four transport corporations for the free travel provided to women under the Shakti scheme.

A high-level committee formed to conduct an in-depth study of the financial losses and operational costs of the four corporations is chaired by retired officer Atul Tiwari.