Diesel hike puts PMPML in red by `2.5 lakh a day

Sushant Ranjan
Monday, 30 April 2018

Pune: Pune Mahanagar Parivahan Mahamandal Ltd (PMPML), the lone public transport body in the city, is already going through adverse conditions. It is now set to face more financial problems due to the continuously increasing rates of diesel. Diesel price has increased by Rs 6 since January this year. Due to this, the PMPML has to bear a loss of Rs 2.5 lakh per day.

Pune: Pune Mahanagar Parivahan Mahamandal Ltd (PMPML), the lone public transport body in the city, is already going through adverse conditions. It is now set to face more financial problems due to the continuously increasing rates of diesel. Diesel price has increased by Rs 6 since January this year. Due to this, the PMPML has to bear a loss of Rs 2.5 lakh per day.

PMPML has around 2,124 buses in its fleet, of these 900 run on diesel, 571 on CNG and 653 are with private contractors and also run on CNG. The authority has also purchased 130 midi buses which run on diesel. Presently, the consumption of diesel is around 37,500 litres per day and costs around Rs 24 lakh. The diesel price was Rs 60.07 on January 1. At that time, around Rs 21.62 lakh was spent to purchase 36,000 litres of diesel. Currently, the diesel price is Rs 64.16. 

"Due to increase in diesel prices, the daily financial burden on PMPML has increased to Rs 2.5 lakh in the past three months. Diesel rates have increased by Rs 3 per litre from March 16 to April 16. Within one month, we paid Rs 1.25 lakh more. Moreover, new midi buses, which also run on diesel, joined the fleet recently. With the addition of 130 buses in the past one-and-a-half months, the burden of maintaining these buses has also increased. Around 100 midi buses will be added in the next few days. Hence, the financial burden will increase," said a highly placed officer of PMPML.

MOUNTING LOSSES
PMPML is facing a loss in revenue due to the hike in fuel prices. Last year, diesel price was Rs 57.86. Currently, it is Rs 6.30 more. Last year, the PMPML administration spent Rs 20.88 lakh on purchase of 33,000 litres of diesel. This year, diesel consumption has increased by 1,500 litres per day. 

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