STC runs passenger bus routes and has a parcel service. (CBC)

Saskatchewan Transportation Company will receive a government operating subsidy of $10.3 million this year and a capital grant of $3.3 million for a total of $13.6 million.

The announcement this week comes following a year where the company discontinued some routes.

The minister responsible for STC, Don McMorris, said the government has had to make some tough decisions to try to keep the subsidy as low as possible.