Loss making HRTC looks for advertisements on buses

Shimla: HRTC is one of the best public transport corporations of the country. It has won numerous awards in the last couple of years. However, the bitter truth is that it is state’s most financially stressed undertaking.

HRTC buses

Earlier in April, Hill Post reported that HRTC incurred a loss of Rs 23.07 Crore in the 2010-2011 session.

Losses continue to accumulate each year in operating Himachal Road Transport Corporation (HRTC) with CAG picking out an additional loss of Rs 27.74 crore on its balance sheet.

Loss for running the 2093 vehicles which includes 1996 buses in 2010-11 was Rs 23.07 crore, the HRTC annual account statement records.

Revenue of the corporation for the year was Rs 498 crore, which included a passenger income of Rs 367 crore, but the expenditure was over Rs 511 Cr that includes Rs 114.33 as operating costs and Rs 220.42 crore repair and maintenance expenditure.

Businesses looking to make an impression in the state will now have the opportunity to advertise on the HRTC buses. The HRTC buses will now carry advertisements on their 1918 Ordinary buses.

In a few months, you may see your dentist’s ad on HRTC buses. HRTC is planning to invite bids for advertisements on its buses to cover up losses and hopefully turn HRTC into a profit making venture.

Advertisement bids are also invited for 36 bus stations managed by the Bus Station Management and Development Authority. ISBT Shimla, ISBT Palampur, Hamirpur, Dharamshala, Manali, and Kullu are the major bus stations that will remain prime targets for the advertisers.

The selected bidder will get to advertise on the buses for three years. These advertisements will be displayed on the back side of a bus and inside the bus as well.

“We are hopeful that we will get advertisers and it will help us to increase our revenues”, said Dhruv Vashisht, Managing Director HRTC.

Currently, HRTC has a fleet of 2100 buses and it has to spend approximately Rs 26.46 per kilometer.

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