The Ministry of Railways is slashing fares in air-conditioned chair cars and executives classes of trains with low occupancy by up to 25 percent.
To encourage train travel
In an effort to boost occupancy the government will offer up to 25 per cent discount in the base fare of “AC chair car and executive classes of all trains having AC seating accommodation”, depending on the “fares of competitive modes of transport”.
Zonal railways will monitor trains for 30 days, and if the occupancy is less than 50 per cent in AC chair car and AC Executive class, they can offer up to 25 per cent cut in the base fare to “optimise utilisation of accommodation in trains”.
“Discounted fare may be given for the entire duration or part duration or month wise or seasonal or for week days/ weekends based on demand pattern of the aforementioned period,” the release added.
Competition from buses
The decision will affect marquee trains like Shatabdis, Vande Bharats and others where the Railways is facing competition from buses for short distance travel.
For example, luxury buses are being preferred over the recently launched Indore-Bhopal Vande Bharat train due to bus operators who are quick to adjust fares as per demand.
With the new policy, the local rail administration will be able to do the same if its occupancy remains less than 50 per cent for a month.
Applicable on base fare only
The discount scheme will come into effect “immediately” on all trains “having AC sitting accommodation including Anubhuti and Vistadome coaches”, and that the discount “shall be up to maximum 25 percent on the basic fare”, it said.
Other charges like reservation charge, Superfast surcharge, GST etc, as applicable, will be levied separately.
For specific legs of the journey
The discount can also be offered on specific legs of the journey.
For example, if the Ajmer-Delhi Cantonment route has less than 50 per cent occupancy between Ajmer and Jaipur, the discount can be offered only for that leg of the journey.
The discount can also be offered for end-to-end journeys and the discount may also be allowed onboard by the TTE If all other criteria are fulfilled.
Where it is not applicable
The discount will be with immediate effect, so those who have already booked tickets at higher fares will not get any refund.
Tatkal quota will not be available for sectors where this discount is applied.
Further, this scheme will also not be applicable on special trains introduced as holiday or festival specials.
