Some public transport systems operate in plain view, while others keep their calculations firmly behind institutional doors.
Fares Behind the Curtain
The Indian Railways has informed the Central Information Commission (CIC) that the formula it uses to calculate passenger train fares is a matter of commercial confidence and a “trade secret”, placing it beyond the disclosure requirements of the Right to Information (RTI) Act. The stance emerged after the CIC dismissed an application seeking granular details of base fare calculations, including the role of dynamic pricing and the effect of Tatkal bookings, both in general and for the Paschim Superfast Express.
In a response accessed by PTI, the Railway Board explained that fares are structured on a class-based system, with differences arising from the facilities and services offered in each category. However, it stressed that “in so far as classification and methodology of fare fixation of different classes is concerned, the policy mechanism falls in the domain of trade secret/ intellectual property rights”, making it exempt under Section 8 of the RTI Act.
Section 8 outlines categories of information shielded from disclosure, including matters related to national security, trade secrets and personal privacy. Railway officials also pointed to earlier CIC rulings that supported withholding pricing methodologies, reinforcing their argument that transparency in this area could undermine commercial interests.
Public Interest Vs Public Curiosity
The Railways further argued that the organisation operates as a commercial utility while simultaneously fulfilling social responsibilities. As stated in its submission, “It is a known fact that the Indian Railways are run as a Commercial utility and at the same time it being an instrumentality of State are required to discharge various social obligations in National interest,” a balance it believes justifies limited disclosure.
The Railway Board’s Chief Public Information Officer added that making detailed pricing mechanisms public did not serve the larger public interest. “Disclosure of pricing related information is not justified in public interest, as profit, if any, is distributed/transferred to common man and is not retained for the benefit of personal gain as in the case of private enterprise,” the reply said.
The CIC noted that all disclosable information and general principles governing fare policies had already been shared. Since public information officers are not required to create or interpret data beyond existing records, and with the appellant absent during the hearing, Information Commissioner Swagat Das found no flaw in the response and closed the appeal.
And so, the train moves on, its fare chart folded like a map known only to the engine.
Summary
Indian Railways told the CIC that its passenger fare calculation method is a “trade secret” exempt under the RTI Act. The CIC agreed, noting that pricing policies fall under commercial confidence and intellectual property protections. With general fare principles already disclosed and no public interest served by deeper transparency, the appeal was dismissed.
