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Railways moots safety cess on tickets to prevent accidents

Railways have to generate additional Rs 5k cr in current FY as its contribution to safety fund

Press Trust of India  |  New Delhi 

Railways moots safety cess on tickets to prevent accidents

Plagued by repeated derailments, the is considering imposing on train tickets to be utilised for strengthening accident prevention measures.

According to the move, the will have to generate additional revenue of Rs 5,000 crore in the current financial year (FY) as its contribution to the created in the budget.


Railway Minister Suresh Prabhu said, "We have to raise safety funds and the people will also have to give some support. We are considering all options."

The government had announced the creation of a special of Rs 1 lakh crore over the next five years that will cover upgradation of tracks and signalling besides elimination of unmanned level crossings.

The special envisages spending of Rs 20,000 crore on safety upgradation every year.

However, has so far received Rs 15,000 crore — Rs 10,000 crore from the central road fund and Rs 5,000 crore from the — while it has been asked to raise Rs 5,000 crore from its own resources for the Rashtriya Rail Sanraksha Kosh.

There are three ways to generate Rs 5,000 crore for the special safety fund, said a senior railway ministry official.

The first option is to raise the additional revenue through The second is through a hike on and the third option is through imposing on passenger fares.

However, the official said no decision has been taken yet on the issue, the official said.

There is a dire need of safety upgradation to prevent accidents which have seen a spurt in the recent past.

The aim to eliminate all unmanned level crossings on the broad gauge network by 2020 for which massive expenditure is required.

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