Picture is not clear about Rail budget, let PB be released. Following aspects of Railbudget are very important-
(1) New trains - picture is not clear. Policy decision is required to rationalise the loss making trains running with less number of coaches/ poor patronage through:- merger, change in destination/change in coach composition/ change in destination/ change in timing/ change in route etc..
(2) New rail lines/ doublings/ GC projects and electrification- picture is not clear. Lossmaking projects need to be freezed as of now and the profitmaking ones need to be completed at...
more... an accelerated pace to improve financial condition of IR. Accelerated electrification shall save on diesel fuel cost, subject to condition that production of Elocos is jacked up commensurately.
(3) financial - No fare rise indicates that flexifare, suvidha and other indirect routes are likely to be followed to increase revenues from passenger transportation. In this respect budget is not good. A 10% increase in fare in all classes would havbe been better and fetched more revenues.
(4) Safety- it is likely to improve with increased allocation (about 23%), switchover to production of LHB coaches only, accelerated elimination of unmanned LC and decision to go for most advanced train management system(a boon for mumbai subarbun trains). In this respect budget is not good.
(5) New trend- More emphasis/ dependency on non fare revenue is a potential threat. Actuial revenue may be much lesser and as a result the capital investment target of Rs. 1.48 lac Crores may not be achieved.
(6) Noncore activities- Opening of schools etc by railways is not desirable.