Thiruvananthapuram: The government will not take over the Kerala State Transport Corporation’s financial obligations but will seek to drive the state transporter back on the path of profitability through a complete restructuring of its operations, the finance minister said on Friday.
In the Budget speech, Thomas Isaac said the government would split KSRTC into three profit centers and bring changes at the management level.
The Budget has allocated Rs 1,000 crore for fiscal 2018-19 to reduce the difference in KSRTC’s income and expenditure.
The government will help the corporation get on its feet and pay salary and pension on its own, Isaac said.
KSRTC needs Rs 720 crore to pay pension alone, the finance minister said, adding that assuming this burden by the government alone would not solve its financial problems.
