State Cabinet Approves Smart Card Rollout to Enhance Transparency, Financial Accountability and Data Accuracy Under Shakti SchemeBengaluru: In a significant policy shift aimed at curbing misuse and strengthening financial oversight, the Karnataka government has approved the introduction of mandatory smart cards for women availing free bus travel under the Shakti Scheme. The new system, likely to be rolled out by June 2026, will make Aadhaar-based identification compulsory, effectively ending unauthorized travel and plugging loopholes in reimbursement processes.
The decision was cleared by the state cabinet, and the transport department has initiated preparatory steps, including inviting tenders for the production and distribution of smart cards. Officials indicated that once the tender process is finalized, the smart card system is expected to become operational within three months.
The Shakti Scheme, launched on June 11, 2023, provides free bus travel to women across Karnataka in state-run buses. The scheme will complete three years on June 11, 2026, and the government is targeting the same month for full implementation of the upgraded system.
Why the Smart Card System Is Being Introduced
According to government sources, the move is designed to ensure greater transparency, improve financial accountability, and reduce discrepancies in reimbursement claims submitted by state transport corporations.
“The smart card system will help eliminate calculation mismatches, prevent fraudulent travel, and ensure timely and accurate payments to transport corporations.”
Officials further stated that transport corporations have long demanded a more reliable and data-driven mechanism to streamline the financial settlement process with the government.
How the Smart Card Will Function
The proposed smart card is expected to be modeled on the Ayushman Bharat health card system. Each card will carry the beneficiary’s name, photograph, unique verification number, and government-issued identity number.
During ticket issuance, bus conductors will enter the verification number into Electronic Ticketing Machines, enabling real-time data capture. The government is also considering embedding a microchip within the card to enhance security, speed up verification, and improve data accuracy.
With the smart card becoming mandatory, the Shakti Scheme is set to enter a new phase focused on digital governance, structured monitoring, and fiscal discipline, marking a crucial administrative upgrade ahead of its third anniversary.