Financial Daily from THE HINDU group of publications Thursday, Jun 10, 2004 |
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Logistics
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Railways Rlys seeks Rs 2,000 cr more for safety, expansion work Gaurav Raghuvanshi
New Delhi , June 9 THE Railways has kicked off their budget making exercise with Railway Minister, Mr Laloo Prasad Yadav, seeking a Rs 2,000-crore increase in the Centre's support to fund various safety and modernisation measures. The Finance Ministry had fixed the Central support for the Railways Plan at Rs 4,544 crore in the interim railway budget. "The United Progressive Alliance Government has decided to focus on safety and expansion of the rail network in a major way. Over the years, the support from the general exchequer to the Railways Budget has been falling as a proportion of the total Plan outlay. We are seeking to correct this imbalance to ensure that the various safety and expansion schemes take off," a senior Railway Board official told Business Line. In addition, funds would be allocated separately for the Rs 15,000-crore National Rail Vikas Yojana and Rs 20,000-crore Remote Area Sampark Yojana. The Railways has demanded more money under the Rs 17,000-crore non-lapsable Special Railway Safety Fund along with a continued thrust for the Rs 6,000-crore Kashmir Rail Link project. "If we do not get the funds from the general exchequer as promised, it would be difficult for us to meet the deadlines for completing the works under these schemes," he said. Last year, an additional allotment of Rs 500 crore had been made for the Kashmir link, declared a national project by the previous Government. The amount, coupled with Rs 300 crore increase in the budgetary support and Rs 200 crore through internal accruals, had increased the Annual Plan from Rs 12,918 crore to Rs 13,918 crore. The size of the Annual Plan for 2004-05 had been tentatively fixed at Rs 13,425 crore in the interim budget. The official said that the Minister is against any increase in passenger fares, especially second class and sleeper class categories. For upper class fares, the Minister has asked the Board to examine the feasibility of an increase keeping in mind the falling airfares. "The challenge is to increase our resource mobilisation without upsetting the delicate passenger and freight fare structure. While the lower classes continue to be highly subsidised, the upper classes have reached very close to airline fares. Similarly, there is absolutely no scope for an increase in freight charges on account of greater competition from roadways and pipelines," the official said. Though the Minister has ruled out any increase in passenger fares, he has directed the officials to curb ticket-less travel. "We are aware that a large number of commuters are not in the habit of buying tickets or travel in a higher class on a lower class ticket with the collusion of railway staff. The Minister wants a severe clamp down on such practices to increase our yield from lower classes," he said.
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