The new bus fare will be effective from September 1, a notification issued by the commerce and transport department said.
The government hiked the bus fare after a meeting with the All Odisha Private Bus Owners Association, said Commerce and Transport minister Ramesh Chandra Majhi.
As per the notification, the fare has been hiked by 5 to 8 paise per kilometer. While the fare of the ordinary passenger and express bus is raised by five paise, there has been increase of seven paise for deluxe buses and eight paise per kilometer for AC buses.
The Association had demanded a revision of bus fares following frequent hikes in the price of diesel.
The bus owners association, however said they will take a decision whether to go for the proposed bus strike from tomorrow.