Railway ticket fares to be hiked frequently
Posted on: 28/Dec/2016 11:31:34 AM
Prime Minister Narendra Modi has decided to make Railways a profitable organization. As of now Railways in spite of severe financial crunch is announcing new plans and schemes. In view of this Railway administration has decided to restructure its train and freight fare according to the inflation.
Sources close to the development have said the new model may be based on the wholesale price index
However, it has not been decided how frequently the fares will be revised.
The Indian Railways charges the passenger around 36 paise per km, which is the lowest among all modes of transport in the country. Currently, there is no method of calculating train fares except that prices are sometimes adjusted against the cost of fuel.
The idea of inflation-linked passenger fares has come at a time when the government is considering a proposal to set up the Railway Development Authority of India (RDAI), which will recommend passenger and freight tariffs.
