Train AC fares may heat up by 15%

NEW DELHI: The forthcoming Rail Budget may see air-condition (AC) passenger fares going up by 10-15%. The segment did not see any hike in fares for the past three years. Rail fares for other classes are unlikely to be changed.

The proposed move to increase AC fares is expected in all trains except Garib Rath. Top sources in the Rail Bhawan indicated that post hike, elite passengers would continue to travel by the AC class.

“The low-cost train — Garib Rath — will, however, be catering to the general public,” an official said.
According to sources, the extra buck paid by the passengers will not go down the drain, as the Rail Bhawan is in the process of charting out a slew of facilities for commuters, which include drastic improvement in the quality of food, upholstery and interiors of compartments. The ministry is also learnt to be in talks with National Institute of Design (NID) for redesigning interiors of Rajdhani and Shatabdi Express.

“We do not intend to hit the common man who travels by normal class. In turn, what could be done is compensate increase in expenditure due to rising fuel prices by hiking AC fares. This segment of commuters can easily bear the upswing,” he said.

Last year, railway minister Lalu Prasad had kept both freight users and passengers happy with a budget that had a liberal dose of freebies. In a bid to take low-cost airlines head-on, AC first class and AC second class fares had been cut 18% and 10%, respectively. A new fully air-conditioned service Garib Rath was also introduced.

The Garib Rath between Amritsar and Saharsa is raking in enough revenue to make it a viable option for low-cost comfort travel. This is also set to be announced in the Budget 2007-08. These AC trains ferry passengers for just Rs 650, almost half the cost incurred on other AC express trains.