Unravelling myths about subsidies in urban transport: a case study of Pune

This paper by Prayas Energy Group exposes the hidden subsidies enjoyed by users of cars and two wheelers, thus marginalizing the needier sections. It uses a case study of urban transport in Pune to show that a bus user is much less subsidized than a car or a two-wheeler user.
This paper challenges the population perception that urban public transport, especially bus services in the country are subsidized while cars and two-wheelers are not. It demonstrates through a case study of urban transport in Pune, that a bus user is much less subsidized than a car user or a two-wheeler user when all costs imposed by transport modes are considered. In the process, it also examines some issues regarding municipal budgeting in the cities.