New Delhi: Modi government had announced to increase private participation in Railways. Taking forward the same announcement, Indian Railways has approved to run 151 trains on 100 routes through the Public Private Partnership (PPP) model. Now the biggest question is, who will decide the fare of these trains? The answer has also been found. It is being told that the Railways can give the right to private companies to fix fares.
According to the news of Live Mint, booking of private train will be done only through Railway Passenger Reservation System (PRS). It is being told that a system will be prepared in which the income from ticket booking will be kept in escrow account. The purpose of PIM (Project Information Memorandum Document) is to give the bidding companies a detailed idea of the proposal for passenger train operations.
According to PIM, “No train will leave for that destination until 60 minutes after the opening of private companies’ train. However this condition will not be applicable when the occupancy of these trains will be more than 80 percent in the first three months.”
151 trains of private companies will run on those busy routes, where there are more passengers. The concession period for the project will be 35 years. Private companies will give fixed Haulage charges to the railways and will also share the revenue share with the railways. As part of the auction process, the railways’ share will be decided. Each train will have at least 16 coaches. Railways also say that most of these trains will be made in India under Make in India.