Press Esc to close
Tuesday 29 July 2014
News updated at 12:05 PM IST
Weather
Max: 0°C
Min : 0°C
In Bangalore
Sunny day

Rail fare hike proposal under examination: Kharge

New Delhi, Oct 3, 2013 (PTI)
Railway Minister Mallikarjun Kharge

A proposal to increase rail fare is under examination and a decision will be taken shortly, Railway Minister Mallikarjun Kharge today said.

"Fuel adjustment component (FAC) was announced in the budget and as per the budget proposal it should have been implemented from October 1. The file containing the FAC proposal has come to me and I am examining it and a decision will be taken shortly," Kharge said at the sidelines of a function here.

To repeated queries whether there will be a FAC-linked revision in passenger and freight tariff in near future to reduce the losses in passenger segment, Kharge did not rule out the possibility of any increase and only said, "I am examining it. As soon as we arrive at some conclusions, then we will decide on it."


According to the budget proposal, the fuel component is segregated from tariff as FAC. Railways is expected to revise the passenger and freight tariff in every six-month after taking into account the input cost and the prevailing market condition.

According to the calculation, railways will have to bear a burden of Rs 1,200 crore due to increased energy and input cost in the next six month. The cross-subsidy for passenger service is currently touching Rs 26,000 crore in a year.

The then Railway Minister Pawan Kumar Bansal had announced the implementation of FAC-linked revision in only freight tariff from April 1. As regards to passenger fare, since it was revised only in January this year, it was not touched then.

Railways had decided not to pass the additional burden of Rs 850 crore because of the fuel hike to the passengers and absorbed it then.

Railways has imposed 15 per cent levy as the busy season charge on all commodities from October 1.

Go to Top

Photo Gallery
India's Devendro Laishram, left, throws a left jab at Sri Lanka's Madushan Gamage in the ...

India's Devendro Laishram, left, throws a left jab at Sri Lanka's Madushan Gamage in the ...

A Muslim family have their iftar (breaking of fast) meal on the last day of the holy fasting...

A Muslim family have their iftar (breaking of fast) meal on the last day of the holy fasting...

A Muslim woman offers evening prayers on the last day of the holy fasting month of...

A Muslim woman offers evening prayers on the last day of the holy fasting month of...

India's Mandeep Jangra, right, lands a punch on Jamaica's Kestna Davis during their men's...

India's Mandeep Jangra, right, lands a punch on Jamaica's Kestna Davis during their men's...

England's Sam Robson, left, fields the ball beside four other slips ...

England's Sam Robson, left, fields the ball beside four other slips ...

A Muslim woman performs ablution before having iftar meal on the last day of the holy month...

A Muslim woman performs ablution before having iftar meal on the last day of the holy month...

Police take top Maoist leader Sabyasachi Panda while taking him to court in Berhampur...

Police take top Maoist leader Sabyasachi Panda while taking him to court in Berhampur...

The launch of Science Express biodiversity special (SEBS) train in New Delhi...

The launch of Science Express biodiversity special (SEBS) train in New Delhi...

England's Ian Bell hits a shot during the second day of the third cricket test...

England's Ian Bell hits a shot during the second day of the third cricket test...

Bollywood music director Anu Malik, actor Sonam Kapoor, filmmaker Farah Khan and Pakistani...

Bollywood music director Anu Malik, actor Sonam Kapoor, filmmaker Farah Khan and Pakistani...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523