Lok Sabha Question No. 5370 (UNSTARRED), answered on 2018-03-28
Subject: Decline in Passenger and Freight Business
Ministry: RAILWAYS
Asked by: SHRIKANT EKNATH SHINDE, SHIVAJI ADHALRAO PATIL, ANANDRAO  ADSUL, VINAYAK BHAURAO RAUT

## GOVERNMENT OF INDIA MINISTRY OF RAILWAYS

## LOK SABHA

## UNSTARRED QUESTION NO.5370

## TO BE ANSWERED ON 28.03.2018

## DECLINE IN PASSENGER AND FREIGHT BUSINESS

## 5370.  DR. SHRIKANT EKNATH SHINDE:

SHRI ADHALRAO PATIL SHIVAJIRAO:

SHRI ANANDRAO ADSUL

:

SHRI VINAYAK BHAURAO RAUT:

Will the Minister of RAILWAYS be pleased to state:

- (a)  whether the Railways is facing stiff competition from road transport and thus its share in passenger and goods traffic is declining;
- (b)    if  so,  the  percentage  of  share  in  passenger  and freight  transport  of railways in the country;
- (c)  whether  the  competition  with  road  transport  is  growing  in  intensity, both  in  passenger  and  in  goods  transport  and  the  lack  of  coordination between railways and road transport has lowered the earning capacity of the railways and if so, the facts thereof;
- (d)  whether  people  are  moving  away  from  railways  on  long  distance routes and in local routes, metros and buses are giving stiff competition due to their superior comfort and speed causing massive losses and if so, the details thereof;
- (e)  whether  the  Government  has  sketched  any  plan  to  find  out  the responsible  causes  for  declining  passenger  share  of  railways  and  to attract more passenger and freight business for the railways; and
- (f) if so, the details thereof?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF RAILWAYS

(SHRI RAJEN GOHAIN)

(a) to (f) A Statement is laid on the Table of the House.

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STATEMENT  REFERRED TO IN REPLY TO PARTS (a) TO (f) OF UNSTARRED QUESTION  NO.  5370  BY  DR.  SHRIKANT  EKNATH  SHINDE, SHRI ADHALRAO PATIL SHIVAJIRAO, SHRI ANANDRAO ADSUL AND SHRI VINAYAK  BHAURAO  RAUT  TO  BE  ANSWERED  IN  LOK  SABHA  ON 28.03.2018 REGARDING DECLINE IN PASSENGER AND FREIGHT BUSINESS

- (a) to  (d)  The  total  transport  system  study  carried  out  by  RITES  for  the erstwhile Planning Commission in 2010 had estimated that Railways' share in the inter-regional freight traffic came down from 89% in 1951 to  30% in  2007-08.  In  passenger  traffic  also,  road  was  the  dominant mode, although precise model shares were not indicated.

The primary reason for decline of Railways' share is capacity constraints  due  to  accumulated  backlog  in  investment  in  capacity. Capacity bottlenecks have resulted in non-realization of the maximum potential of Railways as well as deterioration in punctuality and transit times of railway traffic.

- (e) & (f) Yes, Madam. Capital expenditure in Railways' capacity enhancement  has  been  greatly  scaled  up  over  the  last  four  years. Average  Capital  Expenditure  between  2014-15  and  2017-18  (RE)  is ₹95132.22  Cr.  compared  to  ₹45979.66  Cr.  over  2009-10  to  2013-14. Other measures to attract and increase Railway traffic includes: Freight Segment:
- i. Liberalised Automatic Freight Rebate scheme for traffic loaded in

empty flow direction,  Long  Term  Tariff  Contracts  (LTTC)  with  key freight customers, Station to Station rates (STS), withdrawal of Dual freight policy for Iron Ore, Discount on loading of bagged consignment in open and flat wagons, Rationalisation of Coal Tariff, withdrawal of Port Congestion Charge, Rationalisation of Merry-GoRound (MGR) system, Re-introduction of Short Lead Concession and reduction of minimum distance for charge from 125 km to 100 km, Distance increased for mini rake from 400 km  to 600 km, Proliferation of Roll-on Roll-off (RORO) services, de-notification of 44 additional  commodities  for  charging  at  FAK  rates,  withdrawal  of congestion charge for stone traffic transported from Eastern Railway to Bangladesh via Darsana/ Benapole.

- ii. To  increase  rail  traffic,  Indian  Railways  have  introduced  various schemes like Liberalized Wagon Investment Scheme, Wagon Leasing  Scheme,  Special  Freight  Train  Operators  Scheme  (SFTO), Automobile Freight Train Operator Scheme (AFTO), development of Private Freight Terminals (PFT).
- iii. Time-tabled trains for running of automobiles rakes with a view to provide time-bound delivery of the automobiles traffic, time-table for each  circuit  has  been  chalked  out  and  circulated  to  the  zonal railways  with  advice  to  run  the  auto  rake  as  per  scheduled  timetable.

- iv. Use  of  extensive  computerization  in  freight  operation  to  improve monitoring  and  to  improve  utilization  of  assets,  Deployment  of higher capacity locomotives and higher capacity wagons, Improvement in maintenance practices of wagons and locomotives resulting in increased availability of rolling stock for traffic, Improvement in track and signaling  to  carry  the  higher  volume  of traffic, Training staff and officers to adopt the new technology and management practices.
- v. Two  Dedicated  Freight  Corridors  (Western  &  Eastern  Dedicated Freight Corridors) have been taken up to create adequate capacity, which  is  essential  requirement  to  cater  the  traffic  demand  and improve quality of service.
- vi. Mumbai-Ahmedabad  High  Speed  rail  corridor  has  been  taken  up with assistance of Government of Japan to usher in high speed rail travel in country.

## Passenger Segment:

- i. Augmentation  of  on-board  capacity  by  attachment  of  additional coaches,  running  of  special  trains  during  festivals  and  holidays, running of Suvidha trains etc.
- ii. Organising intensive ticket checking  drives including fortress checks etc.

- iii. Augmentation  of  ticket selling capacity through operation of Automatic Ticket Vending Machines (ATVM), ticket booking through  mobile  phones,  utilizing  the  services  of  ticketing  agents like  Jan  Sadharan  Ticket  Booking  Sewaks  (JTBS),  Station  Ticket Booking Agents (STBA), Yatri Ticket Suvidha Kendra (YTSK) etc.
- iv. Alternate Train Accommodation Scheme (ATAS) known as VIKALP has  been  introduced  to  provide  confirmed  accommodation  to waitlisted  passengers  and  also  to  ensure  optimal  utilization  of available accommodation.
- v. The number of RAC berths has been increased to provide additional accommodation to the passengers.
- vi. A provision has been made  in the Computerized Passenger Reservation System (PRS) to transfer vacant available accommodation  after  preparation  of  second  reservation  chart  to next  remote  location  to  enable  optimum  utilization  of  available accommodation.

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