Railways to hike passenger fares soon

New Delhi Sept 6: Indian railways is planning to increase passenger fare to move away from its financial problems and improve its safety related infrastructure.The move come at a time when the Planning Commission and railway unions demands for a revision in fares which have not been done for over eight years from now.

Earlier, the parliamentary panel had suggested that there was a need for hike in fares to fight against the inflationary trend but the CAG had stressed that there should be a rationalization move to increases the fare to better financial need.

"Nothing has been finalized yet and it is just a thinking", as said by Railway minister Dinesh Trivedi. The percentage of fare hike and time of its activation have not been decided yet as said by Trivedi.

He also said that " it is a revision of fares, would be thought of without affecting the general class which is used by poor people whose affordability has to taken into consideration."

Sources also said that the hike could also be connected to diesel price and electricity which accounts for around 18 percent of annual expenditure.

The proposal to equal the fares of transportation of goods and passengers with the existing market prices was made by Railway minister in a formalized meeting with Planning Commissioner of India which was presided over the Prime minister Manmohan Singh. Sources also said that he have proposed a strong freight and passengers fares in the meeting.

OneIndia News