30 July,2025 05:14 PM IST | Mumbai | mid-day online correspondent
Due to the constant follow-up by Maharashtra Transport Minister Pratap Sarnaik, the companies have now agreed to increase the discount, officials said. File Pic
Maharashtra State Road Transport Corporation (MSRTC) will save Rs 3.23 lakh per day after the fuel supplying companies agreed on increasing the discounts on diesel supplied to the state-run buses, officials said on Wednesday.
According to an official statement, from August 1, the companies including Indian Oil and Bharat Petroleum which supply fuel to the state-run buses will increase the discount on diesel supplied to MSRTC by 30 paise per litre. This will result in average savings of Rs 3.23 lakh per day, amounting to approximately Rs 11.8 crore per year.
It said that for over 70 years, MSRTC has been purchasing diesel from these public sector companies. At present, MSRTC requires an average of 10.78 lakh litres of diesel per day. As a major bulk purchase customer, MSRTC has been receiving a discounted rate. However, despite repeated requests, the discount had not been revised for many years.
"Due to the constant follow-up by Maharashtra Transport Minister Pratap Sarnaik, the companies have now agreed to increase the discount. Several meetings -- three to four -- were held at Mantralaya under Sarnaik's chairmanship and senior officials from Indian Oil and Bharat Petroleum. Negotiations were also initiated with private fuel suppliers, and plans were made to invite competitive tenders for diesel procurement," officials said.
They further said that as a result, the companies have shown readiness to increase the discount. From August 1, an additional 30 paise per litre discount will be applied. Diesel for MSRTC's 251 depots is currently supplied by Indian Oil and Bharat Petroleum, with an average daily requirement of 10.78 lakh litres. With an expected increase in the number of buses, diesel consumption is also likely to rise in the future. Hence, the 30 paise per litre additional discount is projected to result in annual savings of nearly Rs 12 crore.
With the expected growth in the number of buses, diesel consumption is likely to rise. This increased discount will provide long-term financial relief for the transport body, the statement said.
"MSRTC's financial condition is extremely delicate. In such circumstances, wherever saving and cost-cutting is possible, we must take those steps. Moreover, apart from ticket sales, we must also develop other income sources. These combined efforts will help MSRTC become financially self-reliant in the future," said Transport Minister and MSRTC Chairman Pratap Sarnaik.
