New Delhi: The clarification by the Indian Railways -- that surge pricing for premier trains like Rajdhani, Shatabdi and Duronto is being done on an experimental basis -- appears to signal a rethink after criticism, including by leaders like Congress's Rahul Gandhi and Aam Aadmi Party's Arvind Kejriwal.
Mr Gandhi said people need faster trains not ticket prices. Delhi Chief Minister Mr Kejriwal asked for a rollback.
Experts say it would be more transparent and effective to do a flat increase in fares if needed. They have pointed out that the railways has a monopoly and the demand is always higher than supply, so people will always end up being subjected to surge pricing.
According to the railways' new rule on surge pricing, passengers travelling by premier trains including Rajdhani, Duronto and Shatadbi Express will have to shell out between 10 and 50 per cent more. Though fares in the most expensive coaches will not change, surge pricing for sleeper classes will be capped at 1.5 times the base fare -- a maximum hike of 50%, the railways had said.
The system -- to be introduced from today - will affect the fares of 81 trains and was meant to rake in Rs. 500 crore more during the current financial year.
But in face of opposition criticism, Railway Board chairman A K Mital said the dynamic fare system was introduced on an "experimental basis". "We will review it after some time and see what necessary measures can be taken further," news agency Press Trust of India quoted him as saying.
Board Member (Traffic) Mohd Jamshed, however defended surge pricing, saying train travel is still the cheapest mode of transport in the country, charging 36 paisa for one km of travel.
With the revenue target for the current fiscal hiked to Rs 51,000 crore against Rs 45,000 crore of the last fiscal, the railways is "facing a loss of Rs 33,000 crore in the passenger segment," Mr Jamshed was quoted as saying by PTI.
The railways, he added, had spent Rs 1,800 crore in passenger amenities by improving platform area, installing lifts, water vending machines and many more such facilities.
Mr Gandhi said people need faster trains not ticket prices. Delhi Chief Minister Mr Kejriwal asked for a rollback.
Experts say it would be more transparent and effective to do a flat increase in fares if needed. They have pointed out that the railways has a monopoly and the demand is always higher than supply, so people will always end up being subjected to surge pricing.
The system -- to be introduced from today - will affect the fares of 81 trains and was meant to rake in Rs. 500 crore more during the current financial year.
Advertisement
Board Member (Traffic) Mohd Jamshed, however defended surge pricing, saying train travel is still the cheapest mode of transport in the country, charging 36 paisa for one km of travel.
Advertisement
The railways, he added, had spent Rs 1,800 crore in passenger amenities by improving platform area, installing lifts, water vending machines and many more such facilities.
COMMENTS
Advertisement
Tomato Rates Surge To Rs 90/kg In Delhi As Supplies Hit Due To Rain Retail Prices Of Tomates In Delhi Surge To Rs 70-80 Per Kg Due To Heatwave China Is Front And Center Of Gold's Record-Breaking Rally Trainee IAS Officer Puja Khedkar Recalled To Academy, Training Put On Hold Karnataka's 100% Quota Bill For Kannadigas In Private Firms For These Posts Under-Fire Trainee IAS Officer Accuses Pune Collector Of Harassment 3 Killed, 4 Injured After Coal Mine Collapses In Pakistan India Is A "Strategic Partner", Says Pentagon Biden Calls For Ban On Type Of Gun Used In Trump Attack Track Latest News Live on NDTV.com and get news updates from India and around the world.