GoMs to press for govt funding of incentives to push cashless ticketing
LUCKNOW: To make cashless transactions lucrative while buying a bus ticket, transport ministers of 15 states will make a strong case for government funding of incentives that the state transport undertakings (STUs) could offer to cashless buyers. They meet in Lucknow on November 2.
The group of ministers (GoM) are meeting under the aegis of the Transport Development Council and has already sent its suggestions in this regard to the Central government.
The incentives it has suggested may be funded in the similar manner in which the ministry of urban development funds the Metro to lure passengers to buy tickets online and the ministry of road and national highways funds the incentives to truckers on buying fast tag cards for the toll plazas.
The Central government has fixed a target of Rs 560 crore cashless transactions to be done
› We are ready to create the infrastructure required for the cashless ticketing with our own resources UPSRTC OFFICIAL.
by the country’s STUs during 2017-18.
“While most of the STUs including the state road transport corporation (UPSRTC) do sell tickets online through advance booking, most of the ticketing is done offline on board and is done in cash,’ said an official, adding, ‘And to develop a system to motivate passengers to go for cashless ticketing is a challenge.
It is believed that unless the passengers are offered some incentives in a shape of cashback, they are unlikely to use the cashless option.
Sources said UPSRTC alone ferries around 7 crore passengers a year and has the potential to achieve 10% of the Rs 560 crore cashless transaction target set by the Centre under the digital India campaign.
The GoM, according to sources, is most likely to recommend a provision of 10% cash back to a passenger by a STU when he buys a ticket on board through cashless mode and this cashback incentive, the GoM will suggest must be funded by the ministry of road transport or any other ministry.
“We are ready to create the infrastructure required for the cashless ticketing with our own resources but to bear the expenses on incentives to encourage on board cashless ticketing was not possible for the STUs, said another UPSRTC official.
“The Central or the state government has to fund the incentive part,” he stressed.
The GoM has around a dozen other issues on its meeting’s agenda. Among important issues are road safety, taxation and inter-state movement of passenger transport.