Goa privatises nine ferry routes, projects annual savings of Rs 14 crore


Daijiworld Media Network - Panaji

Panaji, Oct 22: The Goa government has privatised operations on nine of the state’s 18 ferry routes, outsourcing services to the Goa Recruitment and Employment Society, a government-run non-profit. The River Navigation Department (RND) will continue to manage fuel and maintenance.

RND Director Vikram Rajebhosale explained that the department had operated on a two-shift system for nearly six decades, with staff earning overtime. Under the new three-shift system, overtime payments will be eliminated, projected to save the state over Rs 10 crore annually in salaries and an additional Rs 3-4 crore in overtime costs.

The transition has been implemented in three phases since October 1, without a tender process, due to the society’s government affiliation. Rajebhosale noted, “It costs Rs 8-9 lakh per month to operate a ferryboat solely on staff salaries. Now, we are paying Rs 3.3 lakh per ferryboat, per month. With 11 ferries enrolled in this system, we are saving Rs 66 lakh per month besides the Rs 3-4 crore in overtime payments.”

While the move promises significant savings, the RND anticipates pushback from workers losing overtime benefits. “RND revenue is just Rs 1 crore per annum, facing a loss of approximately Rs 79 crore yearly. This new system will help us save Rs 14 crore annually,” said Rajebhosale, adding that efforts were made to manage both the workers’ union and departmental concerns before implementing the change.

  

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Title: Goa privatises nine ferry routes, projects annual savings of Rs 14 crore



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