Mumbai: The Brihanmumbai Electricity Supply and Transport (BEST) is hopeful of reviving its transport wing as the mayor of Mumbai, Vishwanath Mahadeshwar announced that the municipal corporation will provide Rs 100 crore to the undertaking every month.
The decision was taken in a meeting attended by all group leaders and the new municipal commissioner, Praveen Pardeshi. The Opposition has welcomed this decision, but its still firm on its demand for a complete bailout package of Rs 2,000 crore.
The BEST committee and administration have been demanding for quite some time now that the BMC fund the undertaking.
The BEST’s transport wing is in such a precarious condition what with its daily commuter base shrinking to 28 lakh and tremendous financial losses rendering it unable to pay its employees their salaries on time.
The former BMC commissioner had sternly refused to provide funds to the cash-strapped BEST, insisting on revival plans instead.
The BEST, however, failed to implement these plans.
Opposition leader Ravi Raja said, “We welcome the monthly funding of Rs 100 crore, but why can’t the civic body give a complete bailout? The BEST is reeling under debt of Rs 2,000 crore.
The BMC earlier had lent the BEST Rs 1,600 crore, which is being refunded with Rs 500 crore interest. We expect the funding to start from next month”.
The Rs 100 crore will not be given as loans but monthly funds. Thus, the BEST will not have to repay it.
Mr Raja, who is also a member of the BEST committee, said, “The BEST should also work on a revival plan. One of the suggestions given by former BMC commissioner was the wet leasing of all buses. Renting out 3,000 buses is direct privatisation, which we won’t allow. We are waiting for the terms and conditions of the plan”.
About 32,000 BEST employees had gone on a nine-day strike in January seeking various benefits including a pay hike, revision of the pay scale of junior-level employees and a merger of the BEST’s budget with that of the BMC. The strike was called off after the union accepted a ‘10-step increment’ pay hike proposal.
