Archive · 2 Sep 2026
Panel Recommends Industry Status, Longer Lifespan for Kerala Buses
Private bus companies in Kerala are losing money as more people use private vehicles.
A government committee studied their problems and suggested ways to help them.
It wants private bus services to be officially treated as an industry.
This could let bus operators receive small-business benefits, loans, and tax credits.
The committee also wants buses to be allowed to operate for 25 years instead of 22.
It suggested that operators pay vehicle tax every month to make payments easier.
Private buses could also be rented by KSRTC and buy diesel from KSRTC fuel pumps.
The government will study the recommendations before deciding what to implement.
A five-member committee led by former DGP K Padmakumar recommended declaring private bus services an industry.
It proposed extending private buses’ operational life from 22 to 25 years.
The panel suggested monthly vehicle-tax payments instead of payments every three months.
It recommended wet-leasing private buses to the Kerala State Road Transport Corporation for Priyadarshini services in a 3:1 ratio.
Other proposals include access to KSRTC fuel pumps, state-backed insurance, regulated advertising, and simpler rental permissions.
- Who
- A five-member committee led by former DGP K Padmakumar made the recommendations; private bus operators are the intended beneficiaries.
- What
- The committee proposed financial and operational measures, including industry status and extending private buses’ lifespan from 22 to 25 years.
- When
- The report was submitted to the state government on Wednesday; the dispatch is dated September 2, with no year specified.
- Where
- Kerala, India.
- Why
- The recommendations aim to address revenue losses and the steady decline in the number of private buses, partly attributed to increasing private-vehicle use.
- Committee chair
- Former DGP K Padmakumar
- Bus lifespan proposed
- 25 years, up from 22 years
- Tax-payment proposal
- Allow vehicle tax payments monthly instead of once every three months
- Industry-status benefit
- Potential access to MSME benefits, input tax credits, and loans
- Wet-lease proposal
- KSRTC could hire private buses for Priyadarshini services in a 3:1 ratio
- Fuel proposal
- Private operators could buy diesel from KSRTC fuel pumps at dealer rates
- Government position
- Transport Minister C P John said most recommendations appeared acceptable, but a decision requires further examination