Lok Sabha Question No. 283 (STARRED), answered on 2015-08-10
Subject: Revenue of Railways
Ministry: RAILWAYS
Asked by: GOPAL CHINAYYA SHETTY, UDAY PRATAP SINGH

## GOVERNMENT OF INDIA MINISTRY OF RAILWAYS

## LOK SABHA STARRED QUESTION NO. 283 TO BE ANSWERED ON 10.08.2015

## REVENUE OF RAILWAYS

† *283. SHRI GOPAL SHETTY: SHRI UDAY PRATAP SINGH:

Will the Minister of RAILWAYS be pleased to state:

- (a) the  details  of  revenue  generated/loss  incurred  by  the Railways during the last three years and the current year, yearwise;
- (b) whether  the  Railways  have  assessed  the  key  areas/ sectors, incurring losses and if so, the details thereof;
- (c) whether  any  target  has  been  fixed  by  the  Railways  to increase its revenue and if so, the details thereof; and
- (d) whether the Government  is considering to formulate various business models, including the PublicPrivate Partnership  (PPP)  Mode  to  meet  revenue  gap  and  if  so,  the details thereof?

## ANSWER

MINISTER OF RAILWAYS

(SHRI SURESH PRABHAKAR PRABHU)

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

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STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (d)  OF STARRED QUESTION NO. 283 BY SHRI GOPAL SHETTY AND SHRI UDAY  PRATAP  SINGH  TO  BE  ANSWERED  IN  LOK  SABHA  ON 10.08.2015 REGARDING REVENUE OF RAILWAYS

- (a) The  details  of  revenue  earned    and  surplus  generated  by  the Railways after payment of dividend during the last three years & current year is as under:-

( ` ` in crore)

|                   |   2012-13 |   2013-14 |   2014-15 (Provisional) | 2015-16 (upto June-15 approx.)   |
|-------------------|-----------|-----------|-------------------------|----------------------------------|
| Revenue earned    | 123901.01 | 139837.70 |               157074.65 | 41351.08                         |
| Surplus generated |   8266.25 |   3740.40 |                 7396.23 | Surplus is calculated annually   |

- (b) Overall  there  is  no  deficit.  Indian  Railways  carries  out  certain transport activities which are uneconomic in nature but carried out in the larger interest of the society. The details of estimated losses  incurred  on  account  of  these  activities  during  the  year 2014-15 are as under:-

( ` in crore)

|   S.No. | Details                                                                                      | Amount   |   Amount |
|---------|----------------------------------------------------------------------------------------------|----------|----------|
|       1 | Loss on Coaching services (Suburban & Non- suburban passenger traffic, parcel, luggage etc.) |          | 34297.88 |
|       2 | Loss on essential commodities carried below cost of operation                                |          |     47.9 |
|       3 | Total (S.No. 1 and 2)                                                                        |          | 34345.78 |
|       4 | Deduct - Staff welfare and law & order costs                                                 |          |  8433.18 |
|       5 | Net Social Services Obligation                                                               |          |  25912.6 |

Contd…2

## Fixation  of  target  for  revenue  is  an  annual  exercise.  The  targeted traffic earnings during 2015-16 is as under:

( ` in crore)

| Items                   |   2014-15 (Provisional) |   2015-16 (BE) | Growth (%)   |
|-------------------------|-------------------------|----------------|--------------|
| Passenger Earnings      |                42192.68 |       50175.00 | 18.9%        |
| Other Coaching Earnings |                 3997.89 |        4612.00 | 15.4%        |
| Goods Earnings          |               105791.34 |      121423.00 | 14.8%        |
| Sundry other Earnings   |                 5092.74 |        7318.00 | 43.7%        |
| Total Traffic Earnings  |               157074.65 |      183528.00 | 16.8%        |

- (c) A Participative Policy for rail connectivity and capacity augmentation  was  notified  in  December-2012,  which  provides for five models for building rail connectivity. Model Concession Agreements for Non-Government line model, Joint Venture, Build Operate and Transfer (BOT) and Customer Funded Models have been issued.  Ministry of Railways in November 2014, has also issued  Sectoral  guidelines  for  Domestic  and  Foreign  Direct Investment (FDI). These initiatives are intended to bring in nonrailway investment for capacity enhancement  and  service improvement.

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