New DelhiJune 29

Indian Railways is considering a proposal to waive the much debated clerkage charges levied on the cancellation of waitlisted tickets, sources told businessline. 

The fee, typically ranging from ₹30 to ₹60 per ticket depending on the travel class, has long faced criticism from passengers and public representatives. The proposal is currently under internal discussion, a Railway Ministry official confirmed.

At present, clerkage is charged at ₹30 per passenger in 2S class, ₹60 in Sleeper class, and ₹60 plus GST (₹65) in all other classes. The fee is deducted even for cancellations made via IRCTC’s online portal. When a waitlisted ticket is cancelled, the fare is refunded after deducting clerkage and other non-refundable components.

In FY25, Railways achieved record earnings of approximately ₹2.7 lakh crore. This was driven by significant increases in both passenger and freight revenues. Passenger numbers rose by 6 per cent to 735 crore, and at ₹7,5215 crore; while freight revenue reached ₹1.75 lakh crore. The operating ratio improved slightly to 98.32 per cent.

Revenue from Cancellations

Railways earns substantial revenue from ticket cancellations. As per RTI replies accessed by an activist last year, the Railways earned over ₹6,000 crore from ticket cancellations during the four-year period between FY20 and FY23.

The breakup is as follows: ₹1,724.44 crore in FY20; ₹710.54 crore in FY21, ₹1,569 crore in FY22 and ₹2,109.74 crore in FY23 (provisional). 

Rising Complaints

Passenger complaints over clerkage charges have been mounting. Apart from several MPs flagging the issue, users have questioned the rationale behind the charge — especially in cases where no confirmed seat was allotted.

A second Railway Ministry official said the issue has been escalated to senior authorities for review and is likely to be taken up in forthcoming discussions.

Last year, users took to social media platform X, tagging IRCTC and seeking justification for the fee. Responding, the agency reiterated: “As per Indian Railways rules, in case of waitlisted/RAC tickets, clerkage charges of ₹60 plus GST per passenger shall be levied. The amount is refunded after deducting clerkage, cancellation charges, and the non-refundable IRCTC convenience fee.”

A senior IRCTC official clarified to businessline that these charges are policy decisions of the Railways.

“We only implement Railway Board directives. If waived at a policy level, appropriate changes will be made in our refund processes,” the official said.

In addition to clerkage, IRCTC charges a convenience fee of ₹15-30 per passenger (depending on travel class), which remains non-refundable.

Published on June 29, 2025