Railway Budget at noon today: Fare hike is unlikely

The Rail Budget to be presented at 11 am today may not see any  hikes in fares and freight rates but the possibility of imposition of a safety cess may not be ruled out, at least on the higher class fares.

Railway Minister Dinesh Trivedi is expected to carry on with the practice of not not tinkering with the second class fares like his predecessors, including Mamata Banerjee, over most part of the last decade.

There is speculation that the budget could bring in a safety cess following a recommendation by the Kakodkar Committee report which went into issues relating to safety over the huge railway network.

 

The Committee had suggested a cess to realise money to the tune of Rs. 5,000 crore, to fund projects especially for safety upgradation of signalling and telecommunication systems.