Rail Budget: Railways May Announce ‘Smart Surcharges’

The railways have no other way but to resort to levying ‘smart surcharge’ on the tickets, to cover up the loss of Rs. 3,300 crore because of the recent hike in the diesel prices. Railways used to pay Rs. 12,500 crore annually for diesel bills; this was before the hike in the diesel prices. Now, they will have to pay an additional Rs. 3,300 crores.

The rail ministry last month announced a hike for all classes, with an intention to recover Rs. 6,500 crores. But within some days, diesel prices were increased and this slashed nearly half of the additional revenue generated.

The hike may be in the form of a surcharge on Tatkal tickets, additional reservation charge, or on use of ‘clean toilets’ or clean stations surcharge, or additional reservation charge or hike may be even in the form of, nominal charges added to catering in all trains.