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Tuesday 24 June 2014

Exclusive: How railway can save 10,000 cr rupees annually without rail fare and freight charges hike

(Divye Joshi in http://idharudhar24x7.blogspot.in/) No one can deny that Indian railway is ill. Though, it’s a different thing that it is not essential to give bitter medicine of hiking the rail fare and freight charges for improving the health of railway. Indian railway can easily save 10,000 crore rupees annually by just increasing the speed of electrification. Despite being the 1/3rd cost, in comparison of diesel, only 38% railway tracks have been electrified so far.. Railway Minister Sadananda Gowda is going to present rail budget on 8th July.

According to railway ministry documents, Up to 1st March 2014, only 38% of 65,436 km rail tracks have been electrified. While, ministry believes that  supply of 67% of 1.1 arab ton goods is being done through electrified tracks. Similarly, 51% passengers travels through electrified tracks. Electricity, which lifts that much huge burden, is very cheap as well. Railway spend 20.5% of its revenue on Diesel but it’s expenditure on diesel is 9.8% only.
One senior official of railway believes that only 1300 km rail track annually is being able to electrified currently. He also thinks that this can easily be extended to up to 2000 km annually. If railway will able to do just 15000 km electrification also on rail tracks in next 7-8 years, it will able to save 10,000 rupees annually. After seeing the benefits of electrified tracks, China has also work on this rapidly in the last few years.
Rakesh Mohan Committee, which has 20 members including the secretaries of eight ministries, has also clearly emphasised  the need of more electrified tracks in the report which this committee submitted just before the lok sabha polls. The committee feels that such electrified tracks are essential not only for money saving but also for pollution and as well as for reducing the dependence on foreign currency. It will also help in removing the doubts over fuel supply.

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