Indian railways likely to increase passenger fares

New Delh, Mar 10: Indian railways is likely to increase passanger travel fares in the reserved class to overcome the growing financial crisis in the coming budget session. The passenger fares have not been increased for eight years in spite of raising input costs.

Sources said that the hike may come in form of either dynamic passenger fare - a scheme that would require charging higher fare on busy routes during the peak season, or an imposition of a cess on the passenger fares.

However, there will be no hike for general unreserved class. Earlier, the railway board had said that the hike could be anywhere between 10 and 12 percent or Rs 35 for every 500 km for AC class passangers.

Prime Minister Office (PMO), finance ministry, and the Planning Commission have already sent several stinkers to the railway ministry to hike passenger fares.

OneIndia News