SLTB to import 163 new buses

Friday, 16 December 2011 01:48 - - {{hitsCtrl.values.hits}}

Despite the Sri Lanka Transport Board continuing to make losses, Cabinet on Wednesday gave approval for an additional 163 buses to be imported into the country.

Cabinet Spokesman Minister Keheliya Rambukwella told media that the proposal was made by Transport Minister Kumara Welgama to award the tender on the recommendation of the Standing Cabinet Appointed Procurement committee, for the procurement of 163 numbers of 54-seater buses to Lanka Ashok Leyland.

The Transport Ministry is already facing flak from private bus operators for not fulfilling promises to give fuel subsidies following the recent price increases. They have already threatened to go on strike if their concerns are not speedily addressed by the Minister. The SLCTB’s fuel bill had gone up by Rs. 2.2 million a day and the loss-making institution is not in a position to sustain such losses, according to the Minister, who promised to keep fares from increasing. Minister Welgama had earlier said that the latest price hike had hit the SLTB badly at a time it was beginning to make progress. The bottom line was that the entire revival plan was now in jeopardy due to the increased fuel cost.

Despite the SLTB operating approximately 5,300 buses daily, it continues to make losses, whereas the private fleet consists of 17,000 buses but makes profits.

The Committee on Public Enterprises (COPE) has consistently recommended that the number of employees in the SLTB be reduced since one bus supports an average of six workers, thus making the whole enterprise unprofitable.