The Extra Tax on AC Buses needs to go

Recently, the Government of India decided, in order to expand its Tax Base, to implement an additional Sales Tax on Air Conditioned Stage Coaches. According to notification, a service tax of 15% is applicable on 40% of all revenues collected from AC bus services. This works out to roughly a 6% increase in ticket fares.

While BEST has reduced its fares, leading us to believe that the new fare structure incorporates this 6% increase, others have hiked fares. TSRTC Hyderabad and BMTC have increased the cost of a Daily Pass from ₹150 and ₹140 to ₹160 and ₹150 respectively, BEST has reduced it from ₹200 to ₹150. MSRTC charges a rupee extra for its Shivneri/Ashwamedh services, though this has been there from somewhere in April, thus making it probably unrelated.

While I am for government measures to increase the tax base, this is most certainly not the right way. Let the government start taxing rich farmers instead. The reasons I’m opposed to this tax are:

BEST – We all know the story behind BEST and its Purple Faeries. Barring a few buses from the Oshiwara Depot, these buses are pathetically underpowered, have terribly low-powered airconditioning. They struggle to climb simple slopes. Their Volvo fleet is in good shape however. However, in light of the recent fare reduction, I guess we can give BEST a breather in this section.

BMTC – The first to implement the new Tax, the BMTC had a very interesting thing to do. They used to issue the regular ticket with the ETMS, but charge the Tax with the old Punched tickets. Thus, I used to get a ₹20 printed ticket and a ₹1 punched ticket. BMTC finally managed to incorporate this tax on the ETMs, but now I have pay ₹22 because the Tax amount is rounded off to the next rupee irrespective of how much it is. However, this move is unwarranted because BMTC buses are bad. The older FA series of Volvo buses are rickety, pollute a lot and water leaks in thru the emergency exits. The Corona fleet have buses where the airconditioning just does not work. The newer 57F series Volvos rarely come to the Public because they spend most of their time on Corporate trips for the ORRCA or Manyata Embassy Tech Park.

MTC – Possibly among the worst Volvo fleet, MTC has 100 odd buses which are in horrendous conditions. Buses creak, and reapairs carried out are not what one you’d expect in a Volvo. Damages sections of the exterior and interior are usually patched up with Substandard Aluminium that is used in the regular buses instead of Volvo’s standard Steel or Glass. If this is the condition of the exterior, you can imagine how the Engine or AC might be. However, knowing TN, they might have not implemented this tax as it goes against the populist nature of the state.

DTC – The worst AC bus fleet that I have seen, DTCs Ashok Leyland buses and Tata Marcopolo buses at times do what no other Transco’s buses do. The BEST Cerita AC struggles while climbing a slope. The BMTC Corona AC struggles when the bus is in heavy traffic. The DTC AshLey and Marco AC struggles when the bus is on regular traffic, and even on minor downward slopes! With the maximum fare on an AC bus set to ₹25, this tax is most certainly a welcome move. Delhi is used to subsidies and cheap stuff and it is high time that AC bus fares were increased in the capital.

TSRTC – TSRTC has also increased its fares, but I am confused on which side to take. TSRTC has among the best Volvo fleets in the country, atleast in Hyderabad. The buses are maintained well, operate on good routes and frequencies, and are in general above expectations. However, the fares are already on the higher side, and thus the extra bit is a little unwarranted.

On the whole, I think this Additional Tax needs to be rolled back. It’s a bad idea to tax the Middle Class more. The upper class doesn’t take the bus, the lower class doesn’t take an AC bus. As always, increasing the Tax Base comes and burns the Middle Class pocket.

Dear @ArunJaitley, the extra tax on AC Stage Carriages needs to go ASAP! Click To Tweet

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Decentralising Transit

Decentralisation: Decentralization or decentralisation is the process of redistributing or dispersing functions, powers, people or things away from a central location or authority.

English: Graphical comparison of centralized (A) and decentralized (B) system.
English: Graphical comparison of centralized (A) and decentralized (B) system. Image copyright Kes47, CC-BY-SA 3.0 Unported, available on the Wikimedia Commons.

Now, transport, especially public transport is a very crucial matter in the lives of most people. People need to travel from home to work, or home to school/college, or to meet someone, or whatever. Transit thus becomes a core component of daily life, and in most cases in Urban India, it single-handedly manages to become the most time consuming part of the day.

It is important to look at how transit is handled by the government and how Who Controls What makes a big difference.

Transport in India is usually under the purview of all three levels of government: Centre, State, and City. In many cases, the first may not apply, and in most cases, the third does not apply. Among these, it is almost impossible for the State Government to not be part of local transport since all State Transport Undertakings [STUs] are under the respective State governments.

Let us take a few examples here:

Mumbai, is possibly the only city in India right now where all three levels of government handle transit. The Suburban Rail, operated by Western and Central Railway comes under the Government of India. Metro Rail, Monorail, and MSRTC [ST] come under the Government of Maharashtra, while BEST comes under the Municipal Corporation of Greater Mumbai [MCGM. Other transcos, such as TMT, NMMT, VVMT, MBMT, KDMT, all come under their respective Municipal Corporations.

Chennai and Hyderabad, both come under the category of zero local government in public transport. The Chennai Suburban Rail and Hyderabad Multi Modal Transit System [MMTS], both come under Southern and South Central Railway, therefore under the Government of India. Metro Rail, as always comes under the State Government, while MTC/TNSTC/TSRTC also come under the Governments of Tamil Nadu and Telangana.

Pune is an interesting case. Barring a few ST routes connecting Swargate or Pimpri-Chinchwad to nearby towns in the district, all routes are handled by the PMPML, while the Suburban Rail is handled by Central Railway, thus reducing the role of the State Government to almost nothing.

Surat and Coimbatore are polar opposites. In the former, the Surat City Bus and Surat Citilink BRTS are handled by the Surat Municipal Corporation while in the latter, TNSTC – Coimbatore operates buses as a State-level body.

Delhi, again is different. DTC and DIMTS are operated by the Government of the National Capital Territory of Delhi, while the Delhi Metro comes under both Centre and State.

Other cities, such as Bangalore, Mysore, Visakhapatnam, Ahmedabad, et al come under similar arrangements of Centre-State-City.

Now, before going further, I’d suggest a quick pre-read: The Escape Velocity of JnNURM Buses, which talks about legal definitions of Transport Bodies, Special Purpose Vehicles and Para-Statal Organisations.

Now, what is the problem if a Central or State-level body operates a transco?

Barring Delhi, which is a city-state and the National Capital, the major problem when one of the two upper levels operate transport is bureaucracy and red-tapism.

Take the case of Mumbai. Any improvements in the Suburban Rail has to go all the way to Delhi where it has to be approved. The previous Railway Ministers, from Bihar and Bengal, never bothered. Under Suresh Prabhu, things are certainly changing with Railway Divisions being granted more autonomy.

Similarly, is the case of a Coimbatore. While routes, planning, repairs, etc. are carried out by the Coimbatore division, fare revisions and new buses both come under the Transport Ministry, but is mostly under Chief Minister’s office! This means, whether you are in Coimbatore [under TNSTC Coimbatore] or Madurai [under TNSTC Madurai], fares and new buses are dependent on the Chief Minister’s mood.

The question is clear: Why should someone sitting in New Delhi be in charge of a person going from CBD Belapur to Andheri? Or for that matter, why should a person sitting Bangalore be in a decision making capacity for someone who wants to take a bus from Hubli Airport to Hubli Railway Station?

The issue is not so bad in cities where the state government has a dedicated transport body, such as Jaipur City Transport Services Limited [JCTSL], BMTC and MTC, however, all three are Capital cities. In the case of Mysore, where the MCTD operates, it is similar to BTMC’s set up, however, still controlled by Bangalore. However, it is worthwhile to note that KaSRTC gives more autonomy to its divisions than TNSTC.

Indian Railways has set up Special-Purpose Vehicles [SPVs] for certain projects with state governments, key being the Mumbai Rail Vikas Corporation [MRVC] which is a 51-49 JV between the Ministry of Railways and the Government of Maharashtra. MRVC does not operate any services, but is responsible for development and upgradation of the Mumbai Suburban Railway Network.

It is interesting to note, that the three Union Territories: NCT Delhi, Puducherry and Chandigarh have a similar, yet different model. DTC, PRTC, and the CTU, all come under the Union Territory Administration, but the DTC and PRTC are corporations that come under the elected Territorial Government, while the CTU is an undertaking which comes under the Central Government.

So, what should be the ideal situation:

For cities with multiple Municipal bodies in the vicinity, and depending on their sizes, let the Municipal Bodies handle operations. Mumbai has got it right, with its 7 Transport Undertakings, each handling their vast territories, and also running a few services into their neighbouring territories. For railway, an SPV should be set-up between the Government of India, Government of Maharashtra and all the Municipal Corporations covered. If needed, neighbouring Pune’s model can be adopted, where the PMPML was formed by merger of the erstwhile PMT and PCMT to serve a larger metropolitan area.

For areas separated by state borders such as the Tricity Area consisting of Chandigarh-Mohali-Panchkula, or the core NCR of Delhi-Gurgaon-Faridabad-Ghaziabad-Noida, a slightly different model needs to be explored. Since Municipally operated services may not be able to cross into another state, each entity must ideally have a State-Operated Transport body solely to serve the region, with a organisational board consisting of board members from the city itself.
For cities like Bangalore, Mysore, Mangalore, Chennai, Coimbatore, a separate Corporation under either State or Municipal control with board members from the city must be set up. The Transco should have a jurisdiction of upto 100km from the City Centre.
The Central Government should move out of Local Transit entirely and let local bodies handle it. Similarly, the state should also try and localise transit.
The same principles can be applied to other matters, such as:
  • Water Supply
  • Power Supply
  • Roads
  • Other Utlities
Transit should be with the local government, not with the territorial ones. Click To Tweet

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One Year of BESTpedia: A quick recap #InkingReflections

BESTpedia has turned a year old. I’m just doing a quick recap of what all has happened in the past one year.

The first post went live on 9th July 2015. There has been no looking back ever since. Of course, Analytics didn’t make an appearance till a month later on 19th August. So, there is little hope of finding out what the hit count was that month, but then, the past is the past.

Anyway, moving on, July saw 6 posts, with two highly successful posts on BEST [Electronic Tickets and Curious Case of BEST AC Buses] and one Fiction Post on Bus 8954.

August saw a two really popular posts among others. Branded Bus Services, and Sherlock’s Day Out were both incredibly popular with the latter getting close to 600 shares on StumbleUpon.

September saw some offbeat posts including ideas and a post on temples, and the first entity that wasn’t directly on the blog [later, part of the Stupindex]. Visits dropped from around 800 to 500 a month however.

October saw a rise in the number of hits with six posts. It also marked the first occurrence of a series of several satire posts on the blog. It was in this month that I got to attend IndiBlogger’s #BNLF in Mumbai.

November marked a significant change for the blog. 10 posts were made, the highest per month till date. It was also the first time that number of visits crossed 1000, ending at 1606. It also marked my first major interaction with the IndiBlogger community with their #madeofgreat series of contests.

December continued on the same high as November. Six posts were made, including two on Delhi [where I was working], one on the Chennai floods, 2 on BESTs plans for buses to Imagica and Parking Lots at Depots, and one on the Bullet Train.The last post for 2015, published at 11.45pm on 31-12-15, was a major one on Amaravati, which went semi viral and got the blog loads of shares the next month. A total of 2245 visits came in December.

January got off to a good start, mainly thanks to the spillover traffic from December. It also witnessed the first two guest posts on the blog. A total of five articles were posted, but due to the traction gained by the Amaravati listicle in December, the month saw 3238 hits, a figure that was exceeded only twice after that. In fact, the first one week alone led to a huge spike in the number of hits, with the 1000 mark being crossed in the first week itself.

February saw a slight slump in articles, with the first article coming out at the start of the third week and the only other article in the month coming out on the 28th. The #MakeInIndia article got good traction however, with Amitabh Kant, CEO of NITI Aayog, as well as the DIPP retweeting my tweet linking to the article.

March saw a slight comeback with 6 posts. The piece on JnNURM buses violating norms was a significantly investigative one, which did get positive feedback from transport lovers. The month saw my first active participation with #BlogChatter as well. The major post of the month however, was the Public Service Announcement produced with my friend Deepak.

April saw 5 posts with one of them being a highly successful guest post by GSR Chaitanya of LoveOfZ about Hyderabad, and a super popular tongue-in-cheek April Fool’s Day post on Taxi services that was quite popular.

May saw 5 posts, with Dork Guru returning to do one more guest post as a follow up to my post. Traffic remained average with 2959 visits. A new feature, titled Unsung Heroes Made an appearance. It also saw the formal creation of The Stupindex as a Table of Contents for all the off-blog inanities around here.

June saw 3450 hits, the highest till date, with a significant amount of traffic coming in from Swarajya Magazine where I had written an article on Highway Strips which was extremely popular. 6 posts were made, including another satire post [BEST Dish of the Day] that got me a comment and a share from Purba Ray. The last article of the month on Zeppelins was also popular after Jayaprakash Narayan of the Lok Satta Party retweeted a link to it on Twitter.

July has so far seen only one article with this one being the second. A total of 70 articles have been posted prior to this with a total of 576 comments and pingbacks/trackbacks. At the time of writing this post, the blog has received a total of 25,320 hits!

It has been a completely amazing ride in the last one year as a blogger. A sincere round of applause for the readers, fellow bloggers, and everyone out there who has encouraged me.

Now a few acknowledgements are in order:

  • Team #Blogchatter: For all the amazing support and motivation. I’m also the Blogstar of the Week!
  • The IndiTeam from IndiBlogger: For all their IndiVine topics that helped me write a lot.
  • Team Swarajya: I did write three major articles for them!
  • The Skyscrapercity India community: I get a lot of ideas for my content from discussions there.

Individuals I need to thank:

  • Janvi: The first person to recognise my flair for writing light humour, and allowing me to co-write this post, way back in 2013.
  • Geetika: For all the motivation, critique, support, and being a victim to me disguising blog links.
  • Nidhi: For all the mentoring, motivation, pep talks and encouragement.
  • Rohini: Again, a lot of support, motivation, and that she is Sherlock’s hooman.
  • Sameer: For all the feedback and encouragement.
  • Deepak: For helping me out with the PSA, and being the first to read my blog posts.
  • Richa: For introducing me to a lot of people in the blogging community which has immensely helped me as a blogger.
  • Gauravi: The first victim of the Stupindex.

And the entire Blogbuddy group; InkingPages consisting of:

I’d strongly suggest going thru the individual links of the various people mentioned above. They’re in many ways responsible for the vibrant environment that I am in.

BESTpedia is now one year old! #InkingReflections Click To Tweet

A quick chart of all the ups and downs the blog has had:

BESTpedia IndiRank stats
BESTpedia IndiRank stats

 

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BEST Announces Revised Fare Structure

Two months after BEST announced its intentions to rationalise fares, BEST has kept its promise and revised them.

BEST has already started the new AC routes [AS310, AS415, AS71, AS72]  proposed, and as of 1st July 2016, the new fares are in operation..

The new BEST committee headed by the BJP has done well in giving BEST the necessary shot in the arm.

The new rates are close to half of the earlier ones.

Here are the rates:

BEST Fare structure July 2016
BEST Fare structure July 2016

The usual conditions, such as 15 paise nutrition surcharge, concessional fares for children below 12, flat fare of ₹2 for visually-impaired passengers, additional charge of ₹1/₹5 for non-AC/AC buses beyond MCGM limits and luggage rates are applicable.

Passes and Happy Hours

For passes, monthly and quarterly rates have been reduced. For Daily Passes, the rates for the non-AC passes are the same. The AC Magic Day Pass now costs ₹150, as was the case before the April 2015 fare revision.

A separate fare structure exists for Children, which costs roughly half the regular adult fare.

The concept of Happy Hours has been introduced, between 1100hrs and 1700hrs [11am to 5pm]. During Happy Hours, all passes are sold at the rate of Child Passes.

For the full fare revision; please click here.

A friend reported that post the fare revision, a ₹105 trip from the JVLR/Jay Coach Junction to Airoli in an AS524 now costs ₹65.

This would mean that a trip from Thane Station [East] to Borivali Station [East] on AS700 would cost around ₹75-80 instead of ₹120, bringing it on par with TMT AC65 and NMMT AC131.

Similarly, Agarkar Chowk to Mulund Check Naka Bus Station on As422 should cost ₹60 instead of ₹100.

All this brings BEST on par with NMMT and TMT in terms of fares. Interestingly, while NMMT/TMT have hiked their fares in view of the recent introduction of a 6% Luxury Tax by the Government of India, similar to BMTC and TSRTC, BEST has reduced the fares. One would have to assume that the new reduced fares are inclusive of this surcharge.

Now, with the new fare structure in place, BEST needs to work on a few things, mostly dealing with its AC fleet. They are:

  • Fix the Cerita fleet. Get them in working order as long as they are around. Some of them have been converted into non-AC buses to replace the Starbus fleet that has been taken off the roads.
  • Get those 46 Volvos from Asian Concierge. Crucial for BEST to remain in the competition.
  • Reintroduce routes such as AS422, AS4, AS1 on Sundays.
  • Reintroduce discontinued routes such as AS505 to take on NMMT’s AC105.

BEST is certainly moving in the right direction. With a few more steps, it can soon recover its losses and be a role model for other Transcos.

 

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