Railways to review flexi-fare system
New Delhi, Dec 14: The Railway Board has decided to review the flexi-fare system introduced for premium trains like Rajdhani and Shatabdi express. The railways have initiated the process of reviewing the flexi-fare system by comparing the prices with that of other modes of transport in the same sectors.
PTI reported quoting a letter of the Railway Board dared December 11 that the board has set up a six-member committee for reviewing the system and submit the report in one month’s time.
The committee includes Railway Board officials besides Ravinder Goyal, Adviser to NITI Ayog, Meenakshi Malik, Executive Director, Revenue Management, Air india, S Sriram, Professor of Transport Economics and Iti Mani, Director Revenue Le Meridien, Delhi.
The committee is directed to examine all options and recommend the best option keeping in mind the interests of the passengers and the railways, the Railway Board letter stated.
The flexi-fare system was introduced on September last year which led up to 50 percent increare in fares. Under this formula the base fares increase from 10 percent to 50 percent with every 10 percent of berths booked.
But with the increase in the revenue, the railways had to suffer the loss of passengers sad several berths remained unoccupied, the officials said.
The Committee is expected to assess the impact of flexi-fare in its current form with respect to revenue generated, impact on passengers in terms of choice of railways with the increased fares.
The committee is expected to recommend if modifications or amendments can be brought to the the flexi-fare system to offer passengers flexibility of rates during peak season, lean season or during week days or weekends or during festivals.
The committee will also recommend if modifications or amendments can be brought to the the flexi-fare system to offer passengers flexibility of rates during peak season, lean season or during week days or weekends or during festivals.
The committee has also been asked to review the fares of the Humsafar Express which was launched last year.