KSRTC requires 25,000 buses in 2025-26, only behindUP in demand
Karnataka is among the top five states with the largest bus fleets in the country, according to a study conducted by Delhi-based organisations Centre for Science and Environment (CSE) and CITIES Forum, a global technical consultancy. The study found that Karnataka State Road Transport Corporation achieves an 85% cost-recovery ratio, with an average fare of Rs 9.2 per 10km, the third highest in the country. It estimated that Karnataka would require 25,000 buses in 2025-26, the secondhighest demand after Uttar Pradesh, which requires 95,000 buses. While Uttar Pradesh was categorised as a state with “stressed and large accumulated losses”, Karnataka was classified as “moderate and improving”. Despite the challenges, Karnataka is among five states that account for more than 50% of the national active bus fleet. Bengaluru Metropolitan Transport Corporation (BMTC) was also recognised as one of the few organised urban bus service agencies in the country. The study, titled ‘Reinventing the Urban Bus: Financial Strategies and Strategic Roadmap for Scaling India’s Bus Sector’, noted that high-performing transport undertakings such as KSRTC (Karnataka), KSRTC (Kerala) and GSRTC (Gujarat) achieve cost-recovery ratios of 80-93% while maintaining manageable staff-to-bus ratios of 5.5 to 5.8. The report stated that the southern region, led by Karnataka, Tamil Nadu and Andhra Pradesh, has the most developed State Transport Undertaking (STU) ecosystem in India, with extensive networks, relatively high utilisation levels and advanced adoption of electric buses. “Karnataka’s KSRTC operates one of India’s largest and most professionally managed transport networks. Kerala’s KSRTC has been an early mover in electric bus adoption,” the study observed. In terms of regional fleet distribution for 2025-26, Karnataka accounts for 33% of the active fleet of 3.5 lakh buses. The study highlighted the state’s strengths as having the “highest fleet intensity, strongest STU capacity and the most advanced EV adoption”.
