In a cabinet meeting, chaired by the Chief Minister of Andhra Pradesh, YS Jagan Mohan Reddy, the State Cabinet has decided to merge the Andhra Pradesh State Road Transport Corporation (APSRTC) into the AP State Government. On Tuesday, the experts’ committee, led by C Anjaneya Reddy, the former Managing Director of APSRTC , had submitted the final report on the merger, to the Chief Minister.
Emerging from the cabinet meeting, the State Minister of Transport, Perni Venkataramaiah said that the entire merging process is scheduled to be completed within 3 months. Speaking further, he informed that, a new wing – Andhra Pradesh Public Transport Department (APPTD) – will be established, to re-designate the fifty-two thousand corporation employees as government employees. Implying the State Government service rules and facilities, the retirement age of the APPTD employees, will be increased from 58 years to 60 years, the minister shared.
Mr Venkataramaiah, also added that the status of contract workers of APSRTC, will remain the same, even after the merger. He further stated that, an independent authority will be set up to regulate bus fares, in accordance with the committee recommendations.
Once a public transport giant, the APSRTC now suffers heavy losses, up to Rs 6,373 crores. In order to mitigate the losses, the State Government plans to increase the number of electrical buses. Keeping his poll vow, the Andhra Pradesh Chief Minister had approved the merger of loss-making APSRTC with the State Government.