The Hindu : National : Modest hike likely in upper class train fares

Online edition of India's National Newspaper
Sunday, Jul 04, 2004

National

National

Modest hike likely in upper class train fares

By Our Special Correspondent

NEW DELHI, JULY 3. The Railway Minister, Laloo Prasad Yadav's maiden budget will, according to indications available, be a mixed bag. While it will in no way be harsh on the common man, it will have its share of surprises.

Informed sources maintain that the Railway Budget 2004-2005 will be people-friendly and that there will be no change in lower class passenger fares. A modest hike in upper class fares and freight rates is not being ruled out. There may not be any major hike in ordinary and suburban train fares, it being the first railway budget of the United Progressive Government.

While there will be an emphasis on the improvement of amenities and strengthening the security for the passengers and rolling stocks and railway property, an attempt would be made to provide some relief to the ordinary commuters.

Mr. Laloo Yadav has the tough task of finding resources for meeting the needs for infrastructure development during the year and neutralising the impact of the additional burden resulting from the recent increase in the prices of coal, steel and diesel.

The hike in the prices of diesel itself had put a burden of over Rs. 1,000 crores.

The budget, to be presented on July 6, might propose a marginal hike in upper class fares but it is not expected to exceed five per cent.

Besides, there could be rationalisation of tariff for air-conditioned class, keeping in mind the seasonal rise and fall of occupancy rate in the long-distance trains.

Citing the example of the runaway success of the reduction of fares by 10 per cent from July 15 to September 15 last year by the then Railway Minister, Nitish Kumar, in Rajdhani, Shatabdi and Janshatabdi Express trains to increase the occupancy, the sources said that "flexi-tariff" might also be extended to air-conditioned class for long-distance mail and express trains in order to push up the revenue.

They also hinted at the introduction of some new long distance trains and trains with unreserved compartment to enable labourers from labour-intensive areas to go to growth centres such as Punjab, Delhi, Mumbai, Coimbatore and Ahmedabad.

Efforts would also be made to introduce, at least on a weekly basis, the 17 Sampark Kranti Express trains, which were announced by the previous NDA Government and also correct imbalances to the extent possible.

Special emphasis would be laid on lifting commodities such as coal, steel, iron ore and cement to increase revenue.

Though the freights had surpassed the target set, the revenue earned was only marginal because of low-rated commodities.

Safety aspect is likely to get top priority in view of the recent train accidents, robberies etc.

The corporate safety plan, introduced by the previous government, would be implemented in letter and in spirit.

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