Private bus operators in Tamil Nadu have raised concerns that the state’s “Vetri Payanam” free travel scheme for women on suburban government buses is severely impacting their business and could push services toward a complete halt.
The scheme, launched on October 2, initially allowed free travel up to 80 km in suburban routes and has since been expanded to 120 km. Operators say this has increased costs for government buses while also diverting passengers away from private services across the state.
According to industry representatives, private buses have seen around a 50% drop in revenue for more than 20 days. They claim that where owners earlier earned a fixed daily profit, many are now spending ₹1,000 to ₹2,000 per day out of pocket to keep operations running.
The sector directly employs drivers, conductors and cleaners, and also supports a wider network of mechanics, body workers, fuel station staff and painters. With earnings falling, operators estimate that the livelihoods of about 3 lakh workers linked to private bus operations are under threat. They also say night services are being reduced as passenger numbers fall.
While stating they do not oppose the government’s welfare initiative, operators have urged changes such as limiting eligibility through a pass linked to ration card and Aadhaar, capping the number of free buses on a route, reducing the free-travel distance, and revising private bus fares that have not been increased for eight years.
