According to the new arrangement announced by the Railways, there will be no increase in fares for suburban passengers and Monthly Season Ticket (MST) holders.
In addition, Ordinary Class fares for journeys up to 215 kilometers will remain unchanged. This means that passengers traveling short and medium distances will continue to get relief, with no extra burden on their travel costs.
How Much Has the Fare Increased?
Under the new system, for journeys beyond 215 km, passengers will have to pay 1 paisa more per kilometer in Ordinary Class.
For Mail and Express trains, the fare has been increased by 2 paisa per kilometer in both non-AC and AC classes.
This means that long-distance travelers will have to pay slightly more. For example, a non-AC passenger traveling 500 km will now pay only ₹10 extra.
According to the Railways, this increase is very limited and its impact on common passengers will be minimal.
How Much Will the Railways Gain?
Railway officials estimate that this fare revision will help generate around ₹600 crore in additional revenue during the current financial year.
Over the past decade, the railway network and operations have expanded significantly. At the same time, spending on safety, services, and workforce has increased, leading to higher overall expenses.
Rising Manpower and Operational Costs
As per available data, the Railways’ manpower expenditure has increased to ₹1.15 lakh crore, while annual pension expenses stand at around ₹60,000 crore.
Overall, the total operational expenditure is expected to reach ₹2.63 lakh crore in 2024–25. To manage these rising costs, the Railways is focusing on increasing freight traffic and making small changes to passenger fares.
Impact on Indian Railways and Passengers
The Railways says these measures have improved safety and operations. India now has the second-largest freight-carrying railway network in the world.
The successful running of more than 12,000 special trains during recent festivals highlights the strength of the railway workforce.
Overall, while the fare increase may seem small, regular and long-distance travelers will feel its impact. Passengers will now need to consider this change while planning their future journeys.
