The Hindu : Selling profit-making PSUs unwise: Kharge

Online edition of India's National Newspaper
Wednesday, May 28, 2003

Southern States

Southern States - Karnataka

Selling profit-making PSUs unwise: Kharge

By Our Staff Reporter

BANGALORE MAY 27. The Home Minister, Mallikarjun Kharge, today said the Government was not in favour of privatising profit-making public sector undertakings (PSUs). The country's future would be in peril if any attempt was made to privatise profit-making PSUs, he said.

Speaking after felicitating employees of the Karnataka State Road Transport Corporation (KSRTC) who were given the high-mileage awards instituted by Telco, Mr. Kharge said attempts were being made by private operators to run buses on nationalised routes. The KSRTC should neither allow such operations nor make the public suffer because of deficient services, he said.

He said Pandit Jawaharlal Nehru and other leaders had equally encouraged PSUs, cooperatives, and the private sector. While PSUs and the cooperative sector had certain social obligations, that was not the case with the private sector, Mr. Kharge said.

Private transport operators did not run services on routes where there was no profit. On the other hand, the KSRTC operated services to remotest villages despite incurring losses. The corporation was also creating massive infrastructure for the benefit of the public, he said.

The Chairman of the four State transport corporations, R.V. Devaraj, MLA, said the profits earned by the corporations was being utilised to improve the existing infrastructure and creating new facilities. The profits were also shared among the employees in the form of bonus and ex gratia since last year, he said.

The high-mileage award was instituted by Telco in 1988 to encourage and motivate drivers and other staff of the transport corporations to improve the maintenance of vehicles. Buses which cover 4.5 lakh km without any major repair to the engine are eligible for the award. So far, 917 drivers and mechanics have got the award. Today, 109 drivers and mechanics received the award.

On the lines of the gold and silver medals given for accident-free driving, the KSRTC has introduced silver medals for drivers who save fuel.

The silver medals were presented to 261 drivers — Bangalore Central (13), Bangalore Rural (21), Tumkur (16), Kolar (58), Mysore Urban (38), Mysore Rural (16), Hassan (22), Chikmagalur (33), Mangalore (15), and Davangere (39) divisions.

It also presented cash awards to officers and staff responsible for bringing down the expenditure on diesel and other accessories. While officers and staff who helped bring about more than 6 per cent savings received a cash award of Rs. 1,000 each, those who achieved between 4 and 6 per cent received Rs. 750 each. Those who achieved savings of less than 4 per cent received Rs. 500 each.

Mr. Devaraj released a technical manual on the proper maintenance of buses, prepared under the leadership of Chief Mechanical Engineer, Parameshwar.

The KSRTC also gave away free travel passes to Arjuna Award winners and sportspersons who represented the State in the Olympics.

The Transport Minister, B. Ramanath Rai, presided over the programme. The Principal Secretary, Transport Department, B.L. Sridhar, the KSRTC directors, P.K. Garg, M.V. Murthy, and K.M. Nandagopal, the Telco General Manager, V.K. Singh, the Karnataka Olympics Association President, K. Govindaraju, and the Managing Director of Arvind Motors, Kishore Rao, were present.

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Selling profit-making PSUs unwise: Kharge