Govt seeks Rs24b for bike subsidy

Over 8m motorcyclists register for fuel relief

PHOTO: FILE

LAHORE:

The Punjab government has sought Rs24 billion from the finance department to fund a fuel subsidy scheme for motorcyclists as part of relief efforts amid rising petroleum prices.

According to officials, a summary for the approval of funds has been forwarded. Once cleared, the finance department will release the amount to operationalise the subsidy programme, which is expected to benefit millions across the province.

Authorities estimate that around 12.5 million motorcyclists could qualify for monthly assistance of Rs2,000, with a subsidy of Rs100 per litre on petrol.

More than eight million bikers have already registered under the scheme, according to officials from the excise department.

The subsidy rollout is expected to begin once the ongoing registration process is completed.

The move builds on relief measures introduced earlier this month, including a temporary waiver of motorbike transfer and registration-related charges. The exemption, effective from April 6 to May 5, covers transfer fees, additional registration mark fees and smart card charges, and is aimed at encouraging ownership transfers to valid names - a key criterion for eligibility under the subsidy framework. Officials estimate the waiver will provide relief worth approximately Rs200 million, with the cost absorbed by the department.

The subsidy initiative is part of a provincial response to rising fuel costs, which have also prompted the government to introduce free public transport across Punjab. Under directives from the chief minister, passengers are currently allowed to travel without fares on major systems, including the Orange Line Metro Train, Metro Bus services, Speedo buses and electric bus fleets.

The measure took immediate effect and triggered a surge in commuter turnout, particularly in Lahore, where large crowds gathered at transit stations. Authorities deployed additional staff to manage passenger flow and ensure security as ridership increased sharply.

Officials from the Punjab Mass Transit Authority estimate that nearly 900,000 passengers are benefiting daily from the free travel facility.

This includes more than 300,000 Orange Line commuters and around 140,000 Metro Bus users, along with a substantial number of riders on feeder and electric bus routes.

However, the relief measures come against a backdrop of rising intercity transport fares. Passengers have reported significant increases on key routes, including Lahore to Islamabad and Faisalabad, raising concerns over uneven implementation of pricing controls.

Commuters expressed frustration over what they described as inconsistent relief. While public transport has been made free, private operators continue to charge elevated fares, reflecting broader market pressures.

Transporters, on the other hand, cited rising fuel costs and declining passenger affordability, warning that sustained pressure could force them to reduce routes.

Alongside these measures, the provincial government is also considering expanding transport capacity by leasing additional buses through private operators, including an initial plan involving up to 1,000 non-air-conditioned buses to meet growing demand.

Under the proposed model, operators would be paid on a per-kilometre basis, with daily operational costs exceeding Rs61,000 per bus. Total expenditure for the fleet could surpass Rs61 million per day, with monthly costs projected to approach Rs1.85 billion.

The government appears to be pursuing a multi-pronged strategy combining targeted subsidies, cost waivers and public transport support to cushion households from the impact of rising fuel prices while managing fiscal constraints.

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