| Business Line - Recap of Interim Railway Budget placed before LS on Feb 13, 2009
Former Union Railway Minister Mr Lalu Prasad placed before the Lok Sabha the estimated receipts and expenditures for 2009-10 for the Indian Railways. While the estimates were for the whole year, the minister actually sought a Vote on Account on February 13, 2009, sufficient to cover the estimated expenditure for the first four months of the current fiscal i.e. (April-July 2009).
REVIEW OF 2008-09 FINANCIAL PERFORMANCE:
* Freight loading target retained at 850 million tonnes.
* Passenger traffic growth likely to be around 7% over previous fiscal.
* Sixth Pay Commission implementation to cost Railways Rs 9,000 crore more on staff cost and Rs 4,500 crore on pensionary charges.
* Cash surplus before dividend for the Railways projected at Rs 19,320 crore and the Operating Ratio at 88.30 per cent despite the burden of Pay Commission Recommendations.
* Gross Traffic receipts of Railways estimated at Rs 93,159 crore, ie, Rs 10,766 .crore more than the revised estimates of 2008-09.
* Budgeted operating ratio placed at 89.9%
* Plan outlay kept at Rs 37,905 crore.
Key Highlights
* Reduction in tariffs
* Cut in passenger fares of ordinary passenger trains by Re1 for fares costing up to Rs 50 per passenger for journeys above 10 kms.
* Second class and Sleeper fares of all Mail/Express and ordinary passenger trains to be reduced by 2% for tickets costing Rs 50 and more per passenger, fares of First Class, AC II tier and AC Chair Car also to be reduced by 2%. | 