As it was expected, the Minister of Railways, Lalu Prasad, has announced reduction in passenger fares for non sub-urban mail/express and ordinary passenger trains by one rupee for fares costing up to fifty rupees per passenger.
While presenting the Interim Railway Budget for 2009-10 in Lok Sabha today, he said that since the fare for rail travel for 10 km and below has already been reduced from four rupees to one rupee, this reduction will not be applicable for second class rail journey up to 10 km.
The Minister said that it is decided to reduce the second class and sleeper class fares of all mail/express and passenger trains this year to fulfil the aspirations of the long distance passengers.
Considering the decrease in number of passengers in air travel due to the economic downturn and its benefit to railways with increase in number of passengers, the ministry has also announced to reduce the fares of AC first class, AC 2 tier, AC 3 tier and AC Chair Car by 2 per cent.
He further added that during the last four years, Railways have reduced the fares of AC First Class by 28 per cent and AC two tier by 20 per cent. Railways have been greatly benefited by the heavy reduction in passenger fares of these classes.
This apart, Railways have also introduced 43 new trains, including four Garib Raths (low fare air-conditioned trains), and also announced the extension of 14 trains and proposed to increase the frequency of some specific trains.
Railways have also planned to make larger investments of Rs.2,30,000 crore under the 11th Five Year Plan which is almost three times the amount allocated in the 10th Five Year Plan. The investment outlays have been stepped up from Rs.13,394 crore in 2003-04 to Rs. 36,773 crore in 2008-09.
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