Feb 252016

Railway Budget 2016 Major Highlights

On Thursday, 25th February, 2016, Union Railway Minister Suresh Prabhu began declaring the Railway Budget applicable for the next fiscal. He opened with the statement that he is promising to address the issues related to all the stakeholders – including those of the employees, citizens and the industry.

This budget is coming at a time when the Railway sector is incurring heavy financial losses with the freight revenues falling. Hence, Prabhu had to take up the strenuous task of managing the public demands and matching them along with the demands of the people.


According to sources, it was decided yesterday by the ministry that at this point of time, even though necessary, it would be a politically incorrect move to hike the fares, considering that there are 4 states which are heading towards election. Prabhu had earlier commented that the railways are suffering because of freight dwindling and also because the passenger fares are not being optimized correctly.

Railways situation before budget

The freight rates have been rising steadily over the past few years, allowing the cross subsidization of the losses incurred in the working passenger trains. According to reports, this cross subsidy from the ‘freight to passenger’ operation was as much as 30,000 crore INR in the last year, while it has risen to 32,000 crore INR for the seventh pay commission to tackle.

The targeted revenue for the railways was 141,416.05 crore INR but they were only able to reach 136,079.26 crores, leading to a 3.77% loss in the sector. Adding to this fact, the Union Finance Minister Arun Jaitley had backed out on the cash promise of 40,000 crore INR. However, this year for the fiscal year 2016-17, the Railway is expecting 50,000 INR cash support for its future projects.

Prabhu’s approach to the issue

Union Railway Minister Prabhu seems to have it all chalked out for the coming year, as he said that his strategy will be based on three pillars – improved efficiency, exploring the different avenues to raise the revenue and making a change in the decision making process. He began his speech by saying that “These are challenging times.”

However, he later assured that “Cooperation, collaboration and communication, are the hallmarks of Indian Railways’ journey forward. We will be at the forefront of infrastructure investment in the country.”

Highlight’s of Prabhu’s Railway Budget

  • A scheme for high speed premium passenger trains are slated to be unveiled
  • To control Delhi’s rising pollution, a system of ring railway will be introduced
  • There will be no hike in passenger fare
  • Separate toilets for the “divyaang” people are to be introduced
  • 20,000 display screens will be put up across 2000 platforms for better dissemination of information
  • To promote and imbibe the ‘Swachh Bharat’ scheme, Prabhu has hinted on installing bio-toilets and vacuum toilets in passenger trains and also dustbins might be put in the coaches
  • Prabhu’s budget also hinted on putting up of the safety cess in the coaches so as to be better prepared for any unforeseen accidents and to prevent the same
  • Coaches with higher capacities, vending machines and water level indicators are most likely to be introduced in this fiscal
  • Porters will no longer be called “coolies”, but “sahayaks” and they will be given training in soft skills
  • Bookings and grievances can now be done with just one app
  • Existing coaches will be upgraded to provide modern amenities and interiors will be improved in some passenger trains to incur higher revenues from them (much like the recently launched Mahamana Express which travels between Delhi and Varanasi)
  • Wi-Fi will be introduced to 100 stations this year and to 600 stations over the next couple of years
  • Employment is likely to be created in the next fiscal with the introduction of more customer service
  • 450 stations to get 17,000 bio toilets introduced
  • “‘Sabka Saath Sabka Vikas’ is just not a slogan for us,” says Prabhu
  • Bar coded tickets and scanners will be introduced to facilitate ticketless travels
  • Tickets can be cancelled via phone calls very soon
  • Unreserved super fast trains to be introduced soon
  • Sub quota of 33% for women under each of the reserved categories in catering to be implemented
  • Tejas will be introduced, to show India what future train travels will seem like with 130 kmph speed.
  • By 2020, all unmanned level crossings to be removed
  • Capital plan of 2016 Railway budget is 1.21 lakh crore INR
  • Core objective is to become the “engine of growth in 2016”
  • 5 lakh crore funds are likely to come from LIC this year
  • The major stations across the country would come under CCTV surveillance
  • AC suburban trains are to run in the suburban areas of Mumbai – which will also be replicated in other parts of the country
  • Under Indian Railway Academy, Rail University is to be established at Vadodara
  • Dual mode engine in trains are likely to be introduced – enabling trains to run both on diesel and electricity
  • E-ticketing systems enhanced from taking 2000/min to 7200/min
  • Three freight corridors have been put on high priority
  • Baby food, children’s menu and baby boards are to be introduced for parents traveling with little children
  • Fully unreserved super fast trains to be introduced to the high traffic routes
  • Passenger amenities to be improved and pilgrimage stations such as Gaya, Dwarka, Mathura, Varanasi, Tirupathi, Haridwar and Bihar Shariff, etc, are to be beautified
  • 2015-16 recruitments and the forthcoming recruitments for all positions are to be done online
  • Humsafar Express to be launched, with third AC services in fully air conditioned coaches
  • Lower berth quota for senior citizens to be hiked by 50%
  • 2800km new tracks to be introduced this year
  • Proposition for Deenadayalu coaches and Antyodaya express for the unreserved travelers has been made

In addition to these announcements, Prabhu has also announced that action has already been taken on 139 projects undertaken last year. Also, the savings of 8120 crore INR of last year is likely to affect the budget of this year.

In recap, some of the key highlights of the Railway Budget 2016 are:

New introductions Changes in existing conditions Expected changes No changes
Rail University at Vadodara Coolies to be called “Sahayaks” Fully unreserved super fast trains No hike in passenger fare
33% sub quota for women under reserved category Beautification of Pilgrimage stations like Gaya, Haridwar Dual mode engines in trains
Bio toilets in passenger trains 2800km new tracks to be introduced Baby Food menu in trains
CCTV cameras in stations E-ticketing enhanced to 7200/min Ticket cancellation via telephones

Four New Trains Got green signal From Railway Minister

While making public the budget of the railways for 2016, there’re certainly some exclusive schemes, amenities and protection mechanisms presented by Suresh Prabhu, the railways Minister of Indian for the expediency of general public. Though there have been few debates regarding the climb of price that might not be noticeable for the everyday passengers; however the amount of trains ought to be enhanced. Four precise classes of trains were commenced in the new budget of railway. This characteristic is absolutely going to be useful for the general public. These 4 classes of trains ought to have the total protection amenities as well as systems to guard the passengers for fear of any kind mishap or accident. Now, we’re going to explore the 4 classes of trains, which have been lately commenced.

Suresh Prabhu, the Indian Railway Minister presented the Budget for Railways in the upper house on 25 Feb, 2016. The financial plan was annulled of any forceful measures intended at advancing the monetary status of the railways. The railway minister did not gone far to harass the common people because there was no fare hike; four fresh train services had been publicized in the railway budget. These trains were named as Uday, Tejas, Antyodaya and Humsafar Express.

Sl. No. Names of New Trains Feature
1. Uday Express Business train
2. Tejas Express Fastest train of India, 130 km/hour
3. Antyodaya Express totally un-reserved
4. Humsafar Express Fully 3-tire train for middle class

Details About The Antyodaya Express Train

The first type of trains is named Antyodaya, it is an express train, which might be running a long distance. In any case, the extraordinary component is, the train will run totally un-reserved and individuals might have the amenities of an express train. This classification of train was presented for running in the crowded courses serving the regular passengers. It has likewise been specified that there should be 2 to 4 extra Deen Dayali train coaches, which might be included in long route trains so individuals can likewise move in long route trains exclusive of pre-reservation. This feature of Deen Dayali is going to upgrade the passenger limits of the trains. The basic individuals and day by day travelers who need to travel in long routes for their job or break journeys in order to arrive at their work places, should have a great deal of comfort because of the expansion of the Antyodaya express and the expansion of the Deen Dayali train coaches. The train coaches might likewise have facilities water and a great deal of cell phone charging points in order to make the voyage bother free for the normal individuals. The new Antyodaya express is useful for the monetarily weak individuals who move in time bound way without spending much.

Humsafar-The Middle Class Train

Another type of train commences is called Humsafar. It is intended for the working class individuals. It’ll be a 3-tire train and consolidates discretionary foods. One thing, which is still not thought about this train, is, whether this new train is unreserved or reserved. By opinion of the monetary specialists, Tejas and Humsafar are unquestionably going to ensure that the cost recuperation should be done through the tax or non-levy measures.

Humsafar Antyodaya Tejas Uday

Tejas- Indian Railways Future Train

Another class of train started is Tejas. It is particularly intended for those individuals who’re in a rush for achieving their destination. On the off chance that you are searching for next step of India towards the bullet trains, then it is this train. It’ll be the India’s speediest train achieving the rate of speed at 130 km/hour. Aside from the fast speed, the train will have a great deal of on-board amenities. Tejas is certainly going to depict future of India in train travelling. The extra services incorporate local foods, music, Wi-Fi as well as entertainment for guaranteeing the responsibility and upgraded consumer loyalty. The train is exclusively presented to increment the passenger carrying limit. This class of train is an uncommon train that will run overnight interfacing the distinctive urban areas all through the nation.

UDAY- The Business Train

Uday is the last category of trains started. It really is a kind of Double Decker train. UDAY means Utkrisht Double-Decker AC Yatri train. The precise travelling course of this new train is not uncovered yet but rather it was stated that this train might be brought on business routes. This train contains the prospective for carrying added people and it has expanded the carrying limitation of trains by over 40%.

We hope that these trains will serve people as they want and one of the most important this is that passenger also should remember to maintain the trains as it is. They should not do anything that can harm the reputation of Indian railways.

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