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BRTC moves to boost financial firepower

Kamrun Nahar | November 08, 2014 00:00:00


The state-run Bangladesh Road Transport Corporation (BRTC) has initiated a move to make it operationally sound and financially viable through curbing corruption and enhancing efficiency of its management, officials said.

The main objectives of the move are to check misappropriation and wastage of the corporation's income and improve its overall service delivery system, they mentioned.

The renewed move came after the new chairman took charge of the organisation recently.  Under the new move, the chairman has already set a target of earning Tk 20 million more per month by checking misappropriation and wastage to reach to his goals.

"I have instructed my finance department to deposit an increased amount of Tk 20 million every month in the BRTC fund by controlling wastage and misappropriation," said Mizanur Rahman, an additional secretary who joined as BRTC chairman one month back.

From December onwards the amount of daily revenue will be increased to revamp the financial health of the organisation, he said.

"Many of our depots have already increased 10 per cent of their daily revenue but I want more. I think the daily revenue should be revised as it's quite low and there are irregularities," he added.   

There are many loopholes in the management system of BRTC including corruption, irregular deposit of revenue and non-payment of fuel cost which create liabilities for the organisation, said Mr Mizan, who was earlier an executive member of Bangladesh Economic Zones Authority (BEZA) under the Prime Minister's Office.

At present BRTC has liabilities of over Tk 610 million to another state-owned company Pragoti from which BRTC bought vehicles in 1998. There is another liability of Tk 80 million as the dues and fuel costs to various depots and fuel stations across the country, officials said.

"Sometimes the liabilities become so huge that nothing remains left in the BRTC account after paying all the dues and salaries to 3,500 employees for which BRTC cannot develop any facilities, properly maintain its vehicles and add any new vehicle to serve the public," said Mr Mizan.

At present BRTC has 1,587 buses of which 950 are in operation. As many as 83 buses run on a long lease basis.

He said the government provided 958 buses in 2009 as subsidy in various phases. Of those, 200 were bought from China. But most of the vehicles are not operated as those are shown as out-of-order only after two years although the economic life of each bus is 15 years.

On the other hand, the repair and maintenance cost is too high for BRTC which sometimes seems to be wastage, Mr Mizan observed.

"We have taken steps to repair 20 buses out of those 200 buses bought from China which will involve less repair cost. Our main objective is to increase income and reduce expense to maximise the profit," he added.

BRTC has a monthly income of Tk 50 million and an expense of about Tk 48 million.

"Our income could be more if our buses could ply all the profitable routes. We cannot ply our vehicles on all routes for the protest of the bus owners' association," he alleged.

He said BRTC is gripped by corruption when he has taken its responsibility. So his first duty will be to make it corruption-free for which he has already visited the 17 depots, held meetings with the officials and staff where everyone unanimously agreed to cooperate with his drive against corruption.  

Mr Mizan suggested creating one company to bring all the private transports under one umbrella having one colour like BRTC and which will operate like BRTC buses to make the city free from traffic jams.

"I think introduction of quality buses in private sector and removal of the unfit vehicles from the streets can reduce the traffic congestion," he added.

However BRTC has already taken step to add 300 double-deckers and 100 articulated buses as part of its contribution to mass transportation system for which economic relations division (ERD) has been searching fund.

Experts, however, expressed their doubt over the move of the new chairman saying this type of rhetoric comes from almost all the newly appointed department heads over and over again ultimately having no tangible result.

Noted economist and former adviser to a caretaker government Hossain Zillur Rahman said almost all the new department heads express their noble intention to make the respective department corruption-free for which there is no scope for comment.

"I don't want to comment on expression of anyone's good intention. I am looking forward for the outcomes," said Mr Rahman.

    msshova@gmail.com


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