After 5 years, train fares set to rise from July 1

NEW DELHI: After five years, train fares are set to see an increase, albeit marginally, with Indian Railways likely to notify the hike from July 1, a move aimed at boosting its revenue without imposing a significant burden on passengers.

While AC travel may cost 2 paise extra per km - meaning one-way travel to Mumbai or Kolkata from Delhi would get costlier by Rs 25-Rs 30 - a non-AC journey in mail and express trains would cost an additional 1 paisa per km. There will be no increase in fare for suburban tickets, monthly passes and second-class travel for 500 km.

The govt will take a call on the notification in a few days, although a section within the govt is of the view that it will be a tough decision before elections in Bihar and Bengal. Going by the estimated passenger-km - unit for measuring use of public transportation - for the current financial year, the railways is likely to earn an additional revenue of around Rs 700 crore in the remaining three quarters. As per the Budget estimate, the national transporter is likely to earn Rs 92,800 crore from passenger movement in 2025-26.

In 2020, the railways had hiked AC fare by 4 paise per km and non-AC fare by 2 paise for mail and express trains. "Proposed fair revision would be 50% less than last time. The new fare structure won't significantly impact passengers' budgets. Suburban train fares and Monthly Season Ticket prices will remain unchanged, and hence, passengers of that segment travelling daily for work won't be impacted at all," said a source. According to the plan, for journeys exceeding 500 km in general second class, the fare would increase by only half a paisa per km. This means, a 700 km journey would see an increase of only Re 1.