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News Entry# 289156
Dec 20 2016 (08:47)  Railways revises flexi fare, offers new discounts (
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Commentary/Human Interest

News Entry# 289156   Blog Entry# 2097470     
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Posted by: rdb*^  132874 news posts
NEW DELHI: In a move to facilitate last minute passengers and ensure trains run on full capacity, railways has revised the flexi fare structure in premier trains by offering 10% rebate on vacant berths after finalisation of the reservation charts.
The transporter has also effected reduction in the tatkal quota in Rajdhani, Duronto, Shatabdi trains.
Railways had introduced the flexi fare system in elite Rajdhani, Shatabdi and Duronto trains on September 9, 2016 in which fares could go up by as much as 50% of the base fare with the increase in demand.

As per the decision, 10% rebate shall be applicable on the base fare of last ticket sold for a particular class and train just before preparation of the chart. However, reservation fee, superfast charge and service tax as applicable shall be levied in full. The decision will be implemented on an experimental basis for six months from December 20.
There were 5,871 vacant berths in Rajdhani, Shatabdi and Duronto trains during September 9-October 31 this year, according to railways.
Tatkal quota earmarked in Rajdhani, Duronto, Shatabdi trains has also been reduced to 10% of the total class-wise accommodation. There will be a review of utilisation of Tatkal quota by zonal railways after a fortnight and based on its utilisation, Tatkal quota might be increased up to a maximum of 30% of total class-wise accommodation in the train.

Dec 20 2016 (16:19)
For Better Managed Indian Railways~   1933 blog posts
Re# 2097470-1            Tags   Past Edits
IR now is gradually getting into complex fare structure like the telecom (mobile) operators do. But a basic difference is there in the two cases. Telecom operators tried (succesfully) to attract customers by reducing rates gradually through discounts and drastically increased their volumes. So customers are a happy lot. IR on the other hand is trying to extract maximum revenue from the passengers by increasing rates where ever possible with reduction in its market share. So paxs are not happy and are gradually getting wary of continuous arm twisting.
If this policy is continued for long, a new competitor called luxury buses shall arise in due course of time and take away their premium paxs (ACIII/ACII) which are currently extorted to maximum
possible extent and hence are giving profits to IR. Airlines have already snatched the share of super premium paxs-ACI,EC,ACII and are growing their volumes at brisk pace. Now it will be opportunity and time for luxury buses.
DFCs shall take away the significant part of bread & butter (i.e. freight). Soon pvt operators shall be competing with IR and running their freight trains in competition with IR freight trains after paying haulage charge to the DFC. But DFC has to be a separate entity than IR for a level playing field.
After a decade IR shall have even more share of nonac paxs/ losses if things continue in the same trend.
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