Pratap Sarnaik added that discussions with Indian Oil Corporation officials confirmed that fuel allocation is being prioritised to ensure uninterrupted services, with state transport corporations placed after defence and railways in the supply chain
Pratap Sarnaik
Maharashtra Transport Minister Pratap Sarnaik on Friday said the Maharashtra State Road Transport Corporation (MSRTC) currently has adequate diesel supply to operate its bus services for the next two months, despite global fuel concerns arising from the West Asia conflict, reported news agency PTI.
However, he cautioned that the state-run transport body has no contingency plan if fuel supplies are disrupted beyond this period.
Fuel supply stable for now
Sarnaik said MSRTC, which operates around 15,800 buses across Maharashtra, is not facing any immediate issues with diesel availability, reported PTI.
“We are getting sufficient diesel at present. There is no disruption in supply, and operations are running smoothly,” he said, reported PTI.
He added that discussions with Indian Oil Corporation officials confirmed that fuel allocation is being prioritised to ensure uninterrupted services, with state transport corporations placed after defence and railways in the supply chain.
No ‘plan B’ if supplies are disrupted
Despite the current stability, the minister acknowledged that MSRTC does not have an alternative strategy in case fuel shortages arise.
“We cannot have a backup plan beyond the available supply. If fuel is not available after two months, there is little we can do,” he said, highlighting the vulnerability of the transport system to prolonged disruptions, reported PTI.
Electric buses offer limited relief
Responding to suggestions of shifting to electric mobility, Sarnaik said the existing fleet of around 780 electric buses is insufficient to sustain the entire network.
“These buses can provide limited support on select routes, but they cannot replace the full-scale operations of the corporation,” he said, reported PTI.
Rising operational costs and expansion plans
MSRTC currently consumes approximately 10.87 lakh litres of diesel daily, amounting to nearly 40 crore litres annually at a cost of about Rs 3,400 crore.
The minister said this expenditure is expected to increase to around Rs 4,700 crore with the planned addition of 8,000 new diesel buses.
Savings through new procurement system
Sarnaik said the corporation has adopted a competitive bidding process for diesel procurement, which is expected to generate annual savings of around Rs 241 crore, reported PTI.
Under the new system, MSRTC has secured a higher discount of Rs 5.13 per litre compared to Rs 3 earlier, resulting in a saving of Rs 2.13 per litre.
Supply arrangements across state
MSRTC Vice Chairman and Managing Director Madhav Kusekar said Indian Oil Corporation will supply diesel at 233 locations across Maharashtra.
For 91 locations near the Gujarat and Goa borders, fresh tenders will be invited to avoid revenue losses linked to value-added tax.
Financial strain remains a concern
Sarnaik noted that MSRTC continues to face financial challenges, with accumulated losses of around Rs 12,000 crore. The corporation has already incurred losses of nearly Rs 750 crore in the current financial year till February, reported PTI.
Global energy tensions impact outlook
The minister also pointed to the broader impact of geopolitical tensions in West Asia on fuel availability and pricing.
India relies heavily on imports for crude oil, natural gas and LPG, with a significant share sourced from the Middle East. Disruptions in the region have raised concerns about long-term energy security.
While MSRTC operations remain stable for now, officials acknowledged that prolonged global disruptions could pose serious challenges in the months ahead.
(With inputs from PTI)
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