Railways fares likely to go up by 20%

Latest increase in prices of petroleum products will increase the fuel bill to Rs23-24 billion

LAHORE:

The Pakistan Railways proposed an increase of 20% in its fares in the wake of Thursday night’s massive increase in the prices of petroleum products to meet the additional burden on its diesel purchase bill, sources said on Friday.

They also said that final decision of raising the fare would be taken in a meeting on Saturday (today), which would be chaired by Railway Minister Khawaja Saad Rafique. They added that the fare increase would apply to almost all passengers.

The Railways purchases diesel worth Rs20 billion annually for its passenger trains and freight operations. According to senior railway officials, the latest increase in prices of petroleum products would increase the fuel bill to Rs23-24 billion.

“Railways, at present, cannot afford this additional burden,” a sources said. “So, instead of increasing the financial burden on the department, the railway operations and senior officers have proposed an increase in the railway fares by 20%,” the sources added.

He revealed that the final decision would be taken in a meeting chaired by the railway minister, after which the fares on all classes – Economy Class, AC Standard, AC Business AC Sleeper and Parlour Car – would be increased.

Another source said that the increase in the fares would also apply to the passengers traveling on branch lines and from one station to another. “The feasibility in this regard has already been prepared,” the source added.