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Highlights of the Railway Budget 2016 – 17

Highlights

Union Railway Minister Suresh Prabhu presented his second Railway Budget on 25th February, 2016 with the theme Reorganize, Restructure Rejuvenate Indian Railways: ‘Chalo, Milkar Kuch Naya Karen’.

3 strategies to revitalise Indian Railways

  1. Nav Arjan – New revenues
  2. Nav Manak – New norms
  3. Nav Sanrachna – New Structures

Financial Performance:

  1. 2015-16- Ordinary Working Expenses (OWE) decreased in the revised estimates (RE) to Rs.1,10,690 crore from Rs.1,19,410, leading to savings to the tune of Rs.8,720 crore and offsetting most of the revenue shortfall. Hence, the expected Operating Ratio (operating expenses as a percentage of revenue) in RE is 90% vi-a-vis 91.3% in 2014-15.
  2. 2016-17- The targeted OR this year has been set at 92%, considering the immediate impact of the 7th Pay Commission and reductions planned in diesel and electricity consumption. The aim is to curtail OWE by 11.6%. The aim is to achieve a revenue target of Rs.1,84,820 crore.

Steps to improve quality of travel

For unreserved passengers –

For reserved passengers-

Steps to ease the ticketing process

Towards Swachh Rail Swachh Bharat

More ticketing stops from now on!

The Railway Minister proposed to convert all operational/technical halts into commercial halts in order to increase patronage and benefit the common man.

For e.g.: Passengers can board/alight at Bhusaval, Igatpuri and Kasara, which are the operational halts for the Nagpur-Mumbai Duronto Express.

Rail Mitra Sewa

Doing it the SMART way

In order to improve comfort of passengers, Specially Modified Aesthetic Refreshing Travel (SMART) coaches will be designed. These will have increased carrying capacity, automatic doors, bar-code readers, bio-vacuum toilets, water-level indicators, accessible dustbins, ergonomic seating, improved aesthetics, vending machines, entertainment screens, LED advertising boards, etc.

Improving customer interface

The following steps have been taken to ensure fulfilment of customer needs:

1. GPS-based digital displays inside coaches.

2. Installation of a high-tech centralised network of 20,000 screens across 2000 stations.

3. Pilgrimage centres:

4. High Speed Rail: High-speed passenger corridor from Ahmedabad to Mumbai is underway.

5. Entertainment:

Upgrade suburban rail services in major metros

Winning back the lost modal share

  1. Expanding the freight basket of IR – To start time-tabled freight container, parcel and special commodity trains on a pilot basis.
  2. Rationalising the tariff structure –

3. Building terminal capacity –

Navarambh – Plans for a fresh start

  1. Navinikaran (Structural Interventions): The Minister proposed to reorganise the Railway Board by setting up cross-functional directorates in the board and bolstering PPP cell to improve ease of doing business with IR.
  2. Sashaktikaran (Improving planning):

3. Aekikaran (Consolidation): To form a holding company of companies owned by IR.

4. Shodh aur vikas (Investing in the future): To set up an R&D organisation-Special Railway Establishment for Strategic Technology & Holistic Advancement (SRESTHA).

5. Vishleshan (Analysing data): To set up a cross-functional team called Special Unit for Transportation Research and Analytics (SUTRA) to conduct detailed analytics that will result in enhanced investment decisions and operations.

6. Navrachna (Innovation): To provide innovation grants to employees, start-ups and small businesses.

Avataran – Seven Missions to transform IR

Sustainability and Social Initiatives

Tourism:

Other salient efforts

1. Measures for the differently-abled: Steps will be taken to provide at least one Divyang-friendly toilet at each platform in A1 class stations along with sufficient provision of wheelchairs.

2. Travel Insurance to passengers: Plans to offer optional travel insurance for rail journeys at the time of booking.

3. Janani Sewa: Children’s menu items on trains.

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