With 4% drop in Bengaluru Metro ridership, BMRCL to plug fare hike anomalies after public backlash

After revision, the minimum fare stands astatine Rs 10, portion the maximum summons fare has been hiked by 50 per cent from Rs 60 to Rs 90.

Following nationalist backlash and staunch protestation from BJP leaders astatine Metro stations, BMRCL managing manager Maheshwara Rao told The Indian Express connected Tuesday that the corp would reappraisal the fare hike and plug anomalies, if any.

“We are alert of the nationalist feedback connected the revised Metro fares. We are taking successful the criticisms constructively. Since definite fare slabs person seen a important increase, we volition reappraisal them and plug the anomalies, if any,” said Rao.

He besides said the Fare Fixation Committee (FFC) is simply a statutory assemblage liable for recommending Metro fare revisions, and BMRCL was bound by its recommendations. “The last determination is made based connected the committee’s recommendations arsenic BMRCL has to instrumentality them arsenic per the Metro Railway Act,” helium pointed out.

BMRCL had written to the Centre connected the constitution of FFC successful 2020. However, it was constituted lone successful 2024 headed by a retired precocious tribunal judge, and a typical each from the Central and authorities governments. The wide hike successful Metro prices by 46 per cent and successful immoderate cases much than 50 per cent has caused important outcry among passengers.

Some commuters besides pointed retired to a 100 per cent summation successful fares astatine definite sections. For example, Akshay Phadnis, taking to X, said that his summons fare has accrued from Rs 23 successful January 2025 to Rs 50 successful February 2025. “How tin idiosyncratic summation fares by 100%? This is my bureau way and I request treble wealth for that route. Which is equivalent to astir 1 litre of petrol successful which I tin thrust 45k. Why would I take the Metro?”

However, BMRCL, defending the fare hike, stated that the hike was indispensable to screen important fiscal obligations, peculiarly indebtedness repayments, which magnitude to Rs 500-800 crore annually. These payments see involvement connected borrowed funds and investments made to grow and upgrade the Metro network. The revised task costs and ongoing infrastructure developments, specified arsenic further trains and presumption improvements, further lend to these fiscal commitments, BMRCL said connected Tuesday.

For instance, an estimated Rs 6 crore per station, totalling astir Rs 300 crore, is incurred for definite upgrades. Additionally, BMRCL’s fiscal projections bespeak an operational nett of Rs 200 crore successful 2025-26. But the nett net is expected to beryllium lone Rs 20 crore owed to indebtedness servicing and different expenditures.

“The 2020 Fare Fixation Committee considered assorted factors earlier recommending fare adjustments, including indebtedness repayment obligations (60-70% of revenues), attraction costs, unit salaries (including dearness allowance (DA) revisions), and energy expenses. Unlike Delhi Metro, which balances operational costs differently, BMRCL faces constraints owed to archetypal superior expenditures and task financing agreements,” said a BMRCL officer.

The serviceman pointed retired that determination are further fiscal challenges, specified arsenic onshore acquisition costs and task outgo overruns, which person escalated by 30 per cent successful immoderate cases.

According to the Memorandum of Understanding (MoU) betwixt the Centre and the state, the Karnataka authorities is liable for partial backing of specified overruns. BMRCL expects to walk Rs 1,600-2,000 crore connected caller trains for upcoming Metro lines, with each bid costing astir Rs 40 crore and the full fleet enlargement estimated astatine Rs 3,000 crore.

“Regarding infrastructure enhancements, the request for level surface doors and different amenities for the nationalist volition beryllium covered successful gross generated done the caller fares,” said an official.

Slamming the Congress authorities for causing occupation to commuters, P C Mohan, Bengaluru Central MP, said, “BMRCL sought Rs 9,919 crore for the 2nd signifier of Bengaluru Namma Metro successful September 2024. But the Karnataka Cabinet deferred a determination connected December 6. Why? They are saying ‘no funds’ arsenic it got drained by freebies and the flawed pursuit of an unscientific Tunnel Road. Now, Metro fares are hiked aft 7 years, burdening commuters”.

He besides advised BMRCL to summation non-fare container revenues. “Public transport indispensable beryllium affordable. Cities similar Singapore and Hong Kong recognize this—they incentivise Metro use. But aft visiting and studying their models, BMRCL, nether the Karnataka Congress government, proposes a 105 per cent fare hike to repay Rs 10,422 crore successful loans. This goes against planetary champion practices. Instead of raising fares, BMRCL should absorption connected tapping non-fare revenues. Leasing presumption aerial rights (property involvement successful the “space” supra Metro stations) unsocial could make implicit Rs 1,000 crore annually. For instance, gathering supra and leasing abstraction astatine MG Road and Trinity stations, Bengaluru, if decently utilized, could person made the Purple Line profitable—just similar BMRCL has built bureau abstraction supra Deepanjali Nagar presumption to prevention connected rent. BMRCL should person learned from them, not the opposite,” Mohan explained.

Satya Arikutharam, municipality mobility expert, has called for urgent reforms successful fare fixation to guarantee a fair, scientific, and commuter-friendly approach. “Last December, the fare fixation committee submitted its recommendations to BMRCL connected fare hikes seemingly based connected “studying” different metros. And this included a sojourn to Singapore and Hong Kong! It raised concerns implicit its autarkic functioning, arsenic BMRCL officials accompanied them during the overseas tour. The hikes, exceeding 60 per cent connected immoderate routes, thrust commuters backmost to two-wheelers, undermining nationalist transport. Instead of a balanced fare policy, BMRCL’s determination could trim ridership and revenue. Holding BMRCL accountable is hard without an autarkic regulator similar Bengaluru Metropolitan Land Transport Authority (BMLTA), whose functioning was stalled for decades by bureaucracy and governmental indifference,” Arikutharam said.

As of the 2023-2024 fiscal year, the Bangalore Metro Rail Corporation Limited (BMRCL) reported an operational nett of Rs 29.3 crore, marking its highest-ever nett and the 2nd consecutive twelvemonth of profitability. This accomplishment was driven by fare gross of Rs 735.48 crore against expenditure of Rs 606.18 crore. In the erstwhile fiscal, 2022-2023, BMRCL recorded an operational surplus of Rs 108 crore, with revenues of Rs 594.01 crore and expenditures of Rs 486.61 crore.