Sad news for train passengers: Train fares up
Posted on: 05/Oct/2013 11:51:58 AM
Today Indian Railways today raised passenger fares by a flat two percent of all classes but did not touch local trains or the Metro (suburban and non-suburban trains). The new charges kick in from October 7 and will apply also to tickets issued in advance.
Freight rates have been raised by 1.7 per cent on all commodities and are likely to have a cascading effect on inflation as the railways are the preferred mode of transport for bulk commodities.
The hikes have been made to offset the rise in fuel costs — a 7.3 per cent increase in the price of diesel and a 15.5 per cent hike in electricity charges.
Basic fares in AC first class have risen by around Rs 60 to Rs 85 per ticket, and by Rs 35 to Rs 45 in AC 2-tier.
Railway officials said all the other charges — such as reservation fees, super fast charges, catering charges and service tax — wherever applicable, would be levied additionally.
Train fares were last raised in January this year, by 10 to 20 per cent. It was the first passenger fare increase in a decade.
The latest hikes are expected to earn the railways an extra Rs 1,150 crore by March 31 next year. Of this, Rs 450 crore will come from the increased passenger fares and Rs 700 crore from the revised freight rates.
