Theme of the Budget Overcoming challenges – Reorganize, Restructure Rejuvenate Indian Railways: ‘Chalo, Milkar Kuch Naya Karen’
Three pillars of the strategy i.e. Nav Arjan – New revenues, Nav Manak – New norms, Nav Sanrachna – New Structures.
- Financial Performance 2015-16- Savings of Rs. 8,720 crore neutralizing most of the revenue shortfall, expected OR 90%;
- 2016-17- Targeted Operating Ratio (OR) – 92%, restrict growth of Ordinary Working Expenses by 11.6% after building in immediate impact of 7th PC, reductions planned in diesel and electricity consumption, Revenue generation targeted at Rs. 1,84,820 crore.
- Investments and Resources
By 2020, long-felt desires of the common man to be fulfilled i.e, reserved accommodation on trains available on demand, time tabled freight trains, high end technology to improve safety record, elimination of all unmanned level crossings, improved punctuality, higher average speed of freight trains, semi high speed trains running along the golden quadrilateral, zero direct discharge of human waste. - 2015-16-Achievements Action initiated on 139 budget announcements of 2015-16.
Project execution 2015-16 – assured funding through LIC; commissioning of 2,500 kms Broad Gauge lines; commissioning of 1,600 kms of electrification, highest ever. - In 2016-17 – targeted commissioning 2,800 kms of track; commissioning Broad Gauge lines @ over 7 kms per day against an average of about 4.3 kms per day in the last 6 years. Would increase to about 13 kms per day in 2017-18 and 19 kms per day in 2018-19; will generate employment of about 9 crore man days in 2017-18 and 14 crore man days in 2018-19. Outlay for railway electrification increased in 2016-17 by almost 50%; target to electrify 2,000 kms.
- Jammu and Kashmir Work on Katra-Banihal section of Udhampur-Srinagar-Baramulla Rail Link Project progressing satisfactorily- 35 kms of tunnelling out of total of 95 kms completed; Decongestion work on Jalandhar – Jammu line in full swing and doubling of two bridges to be commissioned by March 2016, while the other two bridges will be completed by 2016-17.
- Make in India: Finalised bids for two loco factories; proposed to increase the current procurement of train sets by 30%. Capacity Building for the future through:
- Digital India: application of Track Management System (TMS) launched, inventory management module of TMS has resulted in inventory reduction by 27,000 MT resulting in saving of Rs.64 crore and scrap identification of 22,000 MT equivalent to Rs.53 crore. The Way Ahead Improving quality of travel For the unreserved passenger –
- Antyodaya Express unreserved, super fast service.
- Deen Dayalu coaches – unreserved coaches with potable water and higher number of mobile charging points. For the reserved passenger.
- Humsafar – fully air-conditioned third AC service with an optional service for meals
- Tejas – will showcase the future of train travel in India. Will operate at speeds of 130 kmph and above.Will offer on board services such as entertainment, local cuisine, WiFi, etc. through one service provider for ensuring accountability and improved customer satisfaction. Humsafar and Tejas to ensure cost recovery through tariff and non-tariff measures.
- UDAY – overnight double-decker, Utkrisht Double-Decker Air-conditioned Yatri Express on the busiest routes, has the potential to increase carrying capacity by almost 40%. Ticketing: Sale of tickets through hand held terminals; e-ticketing facility to foreign debit/credit cards; bar coded tickets, scanners and access control on a pilot basis.
- Rail Mitra Sewa: expanding Sarathi Seva in Konkan Railway to help the old and disabled passengers, strengthening the existing services for enabling passengers to book battery operated cars, porter services, etc. on a paid basis in addition to the existing pick up and drop, and wheel chair services.
- SMART (Specially Modified Aesthetic Refreshing Travel) Coaches – design and layout of our coaches to ensure higher carrying capacity and provision of new amenities including automatic doors, bar-code readers, bio-vacuum toilets, water-level indicators, accessible dustbins, ergonomic seating, improved aesthetics, vending machines, entertainment screens, LED lit boards for advertising, PA system.
- Mobile Apps – integrate all facilities into two mobile apps dealing with ticketing issues and for receipt and redressal of complaints and suggestions. Improving customer interface- skilling our front-end staff and those we employ through our service providers, information boards in trains enumerating the on-board services and also GPS based digital displays inside coaches to provide real time information regarding upcoming halts. Work underway on installation of a high-tech centralized network of 20,000 screens across 2000 stations for enabling real time flow of information to passengers and also unlock huge advertising potential. All A1 class stations will be manned with duly empowered Station Directors supported by cross functional teams; to make one person accountable for all facilities on trains.
- EPC projects standard document finalized, will implement at least 20 projects through this mode in 2016-17; by 2017-18, endeavour to award all works valuing above Rs. 300 crore through EPC contracts.
- Sashaktikaran – Improving our planning practices To set up a Railway Planning & Investment Organisation for drafting medium (5 years) and long (10 years) term corporate plans; identify projects which fulfill the corporate goal. Prepare a National Rail Plan to harmonise and integrate the rail network with other modes of transport and create synergy for achieving seamless multi-modal transportation network across the country. Aekikaran – Consolidation: Forming a holding company of companies owned by IR
- Gross Traffic Receipts kept at Rs 1,84,820 crore . Passenger earnings growth has been pegged at 12.4 % and earnings target budgeted at Rs. 51,012 crore. The freight traffic is pegged at incremental traffic of 50 million tonnes, anticipating a healthier growth in the core sector of economy. Goods earnings is accordingly proposed at Rs. 1, 17,933 crore. Other coaching and sundries projected at Rs. 6,185 crore and Rs. 9,590.3 crore respectively.
- OWE provides for the implementation of the 7th CPC.
- Pension outgo budgeted at Rs 45,500 crore in 2016-17.
- Higher staff cost and pension liability impacts the internal resource position of the Railways. Accordingly, appropriation to DRF from revenue placed at Rs 3,200 crore and that from Production Units at Rs 200 crore. A withdrawal of Rs 3,160 crore from DRF on net basis proposed though the gross expenditure to be met from DRF in the Annual Plan estimated at Rs 7,160 crore. Rs 5,750 crore proposed to be appropriated to the Capital fund. With a draw-down of Rs 1,250 crore from previous balances in the fund, plan requirement of Rs 7,000 crore for repayment of principal component of lease charges to IRFC met.
- Railways are preparing a Plan size of Rs. 1,21,000 crore in 2016-17
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