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Passenger fare hike unlikely in Rail Budget

Passenger fare hike unlikely in Rail Budget
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First Published: Tue, Feb 23 2010. 12 04 PM IST

Commuters wait to board a train in Mumbai on Monday. Adeel Halim / Bloomberg
Commuters wait to board a train in Mumbai on Monday. Adeel Halim / Bloomberg
Updated: Tue, Feb 23 2010. 12 04 PM IST
New Delhi: For the seventh year in a row, passenger fares are unlikely to be revised in the Railway Budget to be presented on Wednesday as Mamata Banerjee is once again set to reach out to the common man with populist measures.
The Budget may have something for every section and that includes additional trains and innovative schemes to corner more freight traffic from the road, Rail Bhavan sources said.
Commuters wait to board a train in Mumbai on Monday. Adeel Halim / Bloomberg
Union railway minister Mamata Banerjee, who will be presenting her second budget in UPA-II, will also lay the foundation for the implementation of the ambitious Railways Vision document for the coming decade.
The document may seek to attain inclusive development generate large scale employment and ensure environmental sustainability.
The Vision Document 2020 was unveiled by Banerjee in the winter session of Parliament last year along with the white paper.
“Most of the proposals mentioned in the vision document like expansion of rail network, raising train speed and safety measures and commercial utilization of railway land are expected to find mention in the Rail Budget,” the sources said.
With elections round the corner in Bihar and West Bengal, Banerjee is unlikely to touch passenger fares though she is under pressure to review them, which have not seen upward revision for the last seven years.
Banerjee might rationalize freight rates and announce innovative schemes to compete with road transport while leaving the loading rates of essential commodities like food grains untouched.
At present more than 70% of the freight traffic movement takes place through highways.
Union minister for railways Mamata Banerjee and HRD minister Kapil Sibal witness an MoU signing between the two ministries regarding cooperation in the field of education in New Delhi on Tuesday. Shahbaz Khan / PTI
Railway Budget will also contain proposals for introduction of more trains including about a dozen Duronto non-stop trains, a couple of Janshatabdis in southern states, and a number of new services for West Bengal.
She is also likely to announce expediting project works of upcoming locomotive and coach manufacturing units in states like Uttar Pradesh, Bihar and West Bengal and expansion of Kolkata Metro network.
With frequent train accidents becoming a major issue for railways, she is likely to announce enhanced budgetary allocation to address the problem. Banerjee had met finance minister Pranab Mukherjee in this regard.
Some of the safety measures include the implementation of Anti-Collision Device (ACD) and Train Protection Warning System (TPWS) in certain congested routes.
Improving passenger amenities in stations and onboard trains, tightening security measures which include raising a special all-woman force would also find mention in the Budget.
The sources said more passenger reservation counters would be announced and Tatkal scheme would be made more passenger-friendly besides launching of a new passenger enquiry number 138.
Opening of more affordable food outlets like Janahar and improving hygienic condition in preparation of food for passengers are also likely to find mention.
The railway minister is expected to reach out to the farming community by taking forward the kisan vision scheme and announcing introduction of special trains for transportation of farm produce.
Putting its unused land to best use, the minister is set to lay the grounds to woo more private investment for its commercial utilisation.
Railways had already announced tie-up with health ministry and HRD ministry for setting up medical facilities and Kendriya Vidyalays on rail land.
The Budget is also expected to lay emphasis on the dedicated freight corridor as the Vision Document has underlined operationalization of the corridor before 2020.
The document also mentioned optimum utilisation of railway land bank and setting up multi-modal logistic parks and industrial hubs along the corridor.
Interacting with captains of Indian industry earlier this month, the railway minister has laid stress on private participation in expansion of rail network.
The revenue sharing model for private participation in laying new rail tracks is likely to find mention in the Budget.
Keeping the wagon shortage in mind, the budget might also contain measures to tackle the problem through a new wagon procurement policy.
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First Published: Tue, Feb 23 2010. 12 04 PM IST