Indian Railways
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Indian Railways
Type Departmental Undertaking of The Ministry of Railways, Government of India
Founded 26 April 1853, nationalized in 1951
Headquarters New Delhi, India
Area served India
Key people Union Railway Minister:
Laloo Prasad Yadav
Minister of State for Railways (V):
R. Velu
Minister of State for Railways (R):
Naranbhai J. Rathwa
Chairman, Railway Board:
K C Jena.
Industry Railways and Locomotives
Products Rail transport, cargo transport, services
▲ INR Rs 72,655 Crores (2008) (~18.16BUSD)[1]
Revenue
1,406,430 (as on March 31, 2007)[2]
Employees
Parent Ministry of Railways, Government of India
Divisions 16 Railway Zones (excluding Konkan Railway)
Website www.indianrailways.gov.in
Indian Railways (Hindi: भारतीय रे ल Bhāratīya Rail), abbreviated as IR (भारे ), is the state-
owned railway company of India, which owns and operates most of the country's rail
transport. It is overseen by the Ministry of Railways of the Government of India.
Indian railways has one of the largest and busiest rail networks in the world, transporting
over 17 million passengers and more than 2 million tonnes of freight daily.[3][4] It is the
world's largest commercial or utility employer, with more than 1.4 million employees.[5][3]
The railways traverse the length and breadth of the country, covering 6,909 stations over a

total route length of more than 63,327 kilometres (39,350 mi). IR owns over 200,000
wagons, 50,000 coaches and 8,000 locomotives of rolling stock.[3]
Railways were first introduced to India in 1853. By 1947, the year of India's independence,
there were forty-two rail systems. In 1951 the systems were nationalised as one unit,
becoming one of the largest networks in the world. IR operates both long distance and
suburban rail systems on a multi-gauge network of broad, metre and narrow gauges. It also
owns locomotive and coach production facilities.
Contents
[hide]
1 History
•
2 Organisational structure
•
o 2.1 Railway zones
o 2.2 Railway production units
o 2.3 Railway PSU's
3 Passenger services
•
o 3.1 Suburban rail
o 3.2 Notable trains and achievements
4 Freight
•
5 Rail budget and finances
•
6 Current issues and upgrades
•
7 See also
•
8 Notes
•
9 References
•
10 External links
•
[edit] History
Main article: History of rail transport in India
A plan for a rail system in India was first put forward in 1832, but no further steps were
taken for more than a decade. In 1844, the Governor-General of India Lord Hardinge
allowed private entrepreneurs to set up a rail system in India. The East India Company (and
later the British Government) encouraged new railway companies backed by private
investors under a scheme that would provide land and guarantee an annual return of upto
five percent during the initial years of operation. The companies were to build and operate
the lines under a 99 year lease, with the government having the option to buy them earlier.
[6]
Two new railway companies, Great Indian Peninsular Railway (GIPR) and East Indian
Railway (EIR), were created in 1853-54 to construct and operate two 'experimental' lines

near Bombay and Calcutta respectively.[6] The first train in India had become operational
on 22 December 1851 for localised hauling of canal construction material in Roorkee.[7] A
year and a half later, on 16 April 1853, the first passenger train service was inaugurated
between Bori Bunder in Bombay and Thane. Covering a distance of 34 kilometres (21 mi),
it was hauled by three locomotives, Sahib, Sindh, and Sultan.[8]
Extent of Great Indian Peninsular Railway network in 1870. The GIPR was one of the
largest rail companies at that time.
In 1854 Lord Dalhousie, the then Governor-General of India, formulated a plan to
construct a network of trunk lines connecting the principal regions of India. Encouraged by
the government guarantees, investment flowed in and a series of new rail companies were
established, leading to rapid expansion of the rail system in India.[9] Soon various native
states built their own rail systems and the network spread to the regions that became the
modern-day states of Assam, Rajasthan and Andhra Pradesh. The route mileage of this
network increased from 1,349 kilometres (838 mi) in 1860 to 25,495 kilometres
(15,842 mi) in 1880 - mostly radiating inland from the three major port cities of Bombay,
Madras, and Calcutta.[10] By 1895, India had started building its own locomotives, and in
1896 sent engineers and locomotives to help build the Uganda Railway.[citation needed]
At the beginning of the twentieth century India had a multitude of rail services with diverse
ownership and management, operating on broad, metre and narrow gauge networks.[11] In
1900 the government took over the GIPR network, while the company continued to
manage it. With the arrival of the First World War, the railways were used to to transport
troops and foodgrains to the port city of Bombay and Karachi en route to UK,
Mesopotamia, East Africa etc. By the end of the First World War, the railways had suffered
immensely and were in a poor state.[12] In 1923, both GIPR and EIR were nationalized with
the state assuming both ownership and management control.[11]
The Second World War severely crippled the railways as rolling stock was diverted to the
Middle East, and the railway workshops were converted into munitions workshops.[13] At
the time of independence in 1947, about 40 per cent of the railways then went to newly-
created nation of Pakistan.[citation needed] A total of forty-two separate railway systems,
including thirty-two lines owned by the former Indian princely states, were amalgamated as
a single unit which was christened as the Indian Railways. The existing rail networks were
abandoned in favour of zones in 1951 and a total of six zones came into being in 1952.[11]

As the economy of India improved, almost
all railway production units were
'indigenised' (produced in India). By 1985,
steam locomotives were phased out in
favour of diesel and electric locomotives.
The entire railway reservation system was
streamlined with computerisation between
1987 and 1995.
[edit] Organisational
structure
The headquarters of the Indian Railways in Delhi
Indian Railways is a department owned and controlled by the Government of India, via the
Ministry of Railways rather than a private company. As of 2008, the Railway Ministry is
headed by Laloo Prasad Yadav, the Union Minister for Railways and assisted by two
Ministers of State for Railways, R. Velu and Naranbhai J. Rathwa. Indian Railways is
administered by the Railway Board, which has six members and a chairman.
[edit] Railway zones
Indian Railways is divided into zones, which are further sub-divided into divisions. The
number of zones in Indian Railways increased from six to eight in 1951, nine in 1952, and
finally 16 in 2002-03. Each zonal railway is made up of a certain number of divisions, each
having a divisional headquarters. There are a total of sixty-seven divisions.[11][14]
A schematic map of the Indian Railways network, showing the various zones.
Sl. Date
Name Abbr. Headquarters Divisions
No Established
November 5, Mumbai, Bhusawal, Pune,
1. Central CR Mumbai
1951 Solapur, Nagpur
Danapur, Dhanbad,
East
2. ECR October 1, 2002 Hajipur Mughalsarai, Samastipur,
Central
Sonpur

Khurda Road, Sambalpur,
3. East Coast ECoR April 1, 2003 Bhubaneswar
Visakhapatnam
Howrah, Sealdah,
4. Eastern ER April, 1952 Kolkata
Asansol, Malda
North
5. NCR April 1, 2003 Allahabad Allahabad, Agra, Jhansi
Central
North Izzatnagar, Lucknow,
6. NER 1952 Gorakhpur
Eastern Varanasi
North Jaipur, Ajmer, Bikaner,
7. NWR October 1, 2002 Jaipur
Western Jodhpur
Alipurduar, Katihar,
Northeast
8. NFR 1958 Guwahati Lumding, Rangia,
Frontier
Tinsukia
Delhi, Ambala, Firozpur,
9. Northern NR April 14, 1952 Delhi
Lucknow, Moradabad
Secunderabad,
South Hyderabad, Guntakal,
10. SCR October 2, 1966 Secunderabad
Central Guntur, Nanded,
Vijayawada
South East
11. SECR April 1, 2003 Bilaspur, CG Bilaspur, Raipur, Nagpur
Central
South Adra, Chakradharpur,
12. SER 1955 Kolkata
Eastern Kharagpur, Ranchi
South
13. SWR April 1, 2003 Hubli Hubli, Bangalore, Mysore
Western
Chennai, Madurai,
Palakkad, Salem,
14. Southern SR April 14, 1951 Chennai
Tiruchchirapalli,
Thiruvanathapuram
West
15. WCR April 1, 2003 Jabalpur Jabalpur, Bhopal, Kota
Central
Mumbai Central, Baroda,
November 5,
16. Western WR Mumbai Ratlam, Ahmedabad,
1951
Rajkot, Bhavnagar
The Calcutta Metro is owned and operated by Indian Railways, but is not a part of any of
the zones. It is administratively considered to have the status of a zonal railway.[14]
Each of the sixteen zones, as well as the Calcutta Metro, is headed by a General Manager
(GM) who reports directly to the Railway Board. The zones are further divided into
divisions under the control of Divisional Railway Managers (DRM). The divisional officers
of engineering, mechanical, electrical, signal & telecommunication, accounts, personnel,

operating, commercial and safety branches report to the respective Divisional Manager and
are in charge of operation and maintenance of assets. Further down the hierarchy tree are
the Station Masters who control individual stations and the train movement through the
track territory under their stations' administration.
[edit] Railway production units
A WAP5 locomotive
A diesel locomotive of Indian Railways powering Express train, that runs in Assam
The Indian Railways manufactures a lot of its rolling stock and heavy engineering
components. This is largely due to historical reasons. As with most developing economies,
the main reason is import substitution of expensive technology related products. This was
relevant when the general state of the national engineering industry was immature.
Production Units, the manufacturing plants of the Indian Railways, are managed directly by
the ministry. The General Managers of the PUs report to the Railway Board. The
Production Units are:
Chittaranjan Locomotive Works, Chittaranjan
•
Diesel Locomotive Works, Varanasi
•
Diesel-Loco Modernisation Works, Patiala
•
Integral Coach Factory, Chennai
•
Rail Coach Factory, Kapurthala
•
Rail Wheel Factory, Bangalore
•
These six production units (PUs) are each headed by a General Manager (GM), who also
reports directly to the Railway Board.
Other independent units of Indian Railways are:

Central Organization For Railway Electrification, Allahabad
•
Central Organization For Modernization of Workshops, New Delhi
•
Important maintenance workshops on IR are:
Southern Railway Workshop, Tiruchirapalli
•
Rail Spring Karkhana, Gwalior
•
Bharat Earth Movers Limited (BEML), Bangalore is an organization unrelated to the
Indian Railways, however it manufactures coaches for both the Indian Railways and the
Delhi Metro system.
In addition to this the Central Organisation for Railway Electrification (CORE), Metro
Railway, Calcutta and construction organisation of NFR are also headed by a General
Manager.
[edit] Railway PSU's
Apart from these zones and production units, a number of Public Sector Undertakings are
under the administrative control of the ministry of railways. These units are:
1. Dedicated Freight Corridor Corporation of India
2. Indian Railways Catering and Tourism Corporation
3. Konkan Railway Corporation
4. Indian Railway Finance Corporation
5. Mumbai Rail Vikas Corporation
6. Railtel Corporation of India – Telecommunication Networks
7. RITES Ltd. – Consulting Division of Indian Railways
8. IRCON International Ltd. – Construction Division
9. Rail Vikas Nigam Limited
10. Container Corporation of India
11. Rail Land Development Authority is a statutory authority formed through an
amendment of the Railways' Act, 1989 for commercial development of vacant
railway land/
12. Centre for Railway Information Systems is an autonomous organisation under the
Railway Board, which is responsible for developing the major software required by
Indian Railways.
[edit] Passenger services

A DMU Train
Indian Railways operates about 9,000 passenger trains and transports 18 million passengers
daily across twenty-eight states and one union territory, Puducherry (formerly Pondicherry)
and . Sikkim, Arunachal Pradesh, and Meghalaya are the only states not connected by rail.
The passenger division is the most preferred form of long distance transport in most of the
country. A standard passenger train consists of eighteen coaches, but some popular trains
can have up to 24 coaches. Coaches are designed to accommodate anywhere from 18 to 81
passengers, but during the holiday seasons or when on busy routes, more passengers may
travel in a coach. Most regular trains have coaches connected through vestibules. However,
'unreserved coaches' are not connected with the rest of the train via any vestibule.
Reservation against cancellation service is a provision for shared berth in case the travel
ticket is not confirmed. It is a way of maximizing the number of wait-listed passengers to
be accommodated in case of a cancellation.[15]
[edit] Suburban rail
The Delhi Metro railway
Mumbai's suburban trains handle 6.3 million commuters daily.[16]
Many cities have their own dedicated suburban networks to cater to commuters. Currently,
suburban networks operate in Mumbai, Chennai, Kolkata , Delhi, Hyderabad, Pune and

Lucknow. Hyderabad, Pune and Lucknow do not have dedicated suburban tracks but share
the tracks with long distance trains. New Delhi, Kolkata, and Chennai have their own
metro networks, namely the New Delhi Metro, the Kolkata Metro,and the Chennai MRTS,
with dedicated tracks mostly laid on a flyover.
Suburban trains that handle commuter traffic are mostly electric multiple units. They
usually have nine coaches or sometimes twelve to handle rush hour traffic. One unit of an
EMU train consists of one power car and two general coaches. Thus a nine coach EMU is
made up of three units having one power car at each end and one at the middle. The rakes
in Mumbai run on direct current, while those elsewhere use alternating current.[17] A
standard coach is designed to accommodate 96 seated passengers, but the actual number of
passengers can easily double or triple with standees during rush hour.
[edit] Notable trains and achievements
A train on the Darjeeling Himalayan Railway
There are two UNESCO World Heritage Sites on IR — the Chatrapati Shivaji Terminus[18]
and the Mountain railways of India. The latter is not contiguous, but actually consists of
three separate railway lines located in different parts of India:[19]
The Darjeeling Himalayan Railway, a narrow gauge railway in West Bengal.
•
The Nilgiri Mountain Railway, a metre gauge railway in the Nilgiri Hills in Tamil
•
Nadu.
The Kalka-Shimla Railway, a narrow gauge railway in the Shivalik mountains in
•
Himachal Pradesh.
The Palace on Wheels is a specially designed train, frequently hauled by a steam
locomotive, for promoting tourism in Rajasthan. On the same lines, the Maharashtra
government introduced the Deccan Odyssey covering various tourist destinations in
Maharashtra and Goa, and was followed by the Government of Karnataka which
introduced the Golden Chariot train connecting popular tourist destinations in Karnataka
and Goa. However, neither of them has been able to enjoy the popular success of the Palace
on Wheels.
The Samjhauta Express is a train that runs between India and Pakistan. However, hostilities
between the two nations in 2001 saw the line being closed. It was reopened when the

hostilities subsided in 2004. Another train connecting Khokhrapar (Pakistan) and Munabao
(India) is the Thar Express that restarted operations on February 18, 2006; it was earlier
closed down after the 1965 Indo-Pak war. The Kalka Shimla Railway till recently featured
in the Guinness Book of World Records for offering the steepest rise in altitude in the
space of 96 kilometres.[20]
A Beyer Garrett 6594 Engine seen at the National Rail Museum
The Lifeline Express is a special train popularly known as the \"Hospital-on-Wheels\" which
provides healthcare to the rural areas. This train has a carriage that serves as an operating
room, a second one which serves as a storeroom and an additional two that serve as a
patient ward. The train travels around the country, staying at a location for about two
months before moving elsewhere.
Among the famous locomotives, the Fairy Queen is the oldest running locomotive on the
mainline (though only for specials) in the world today, though the distinction of the oldest
surviving locomotive that has recently seen service belongs to John Bull. Kharagpur
railway station also has the distinction of being the world's longest railway platform at
1072 m (3,517 ft). The Ghum station along the Darjeeling Toy Train route is the second
highest railway station in the world to be reached by a steam locomotive.[21] The Mumbai–
Pune Deccan Queen has the oldest running dining car in IR.
The Himsagar Express, between Kanyakumari and Jammu Tawi, has the longest run in
terms of distance and time on Indian Railways network. It covers 3,745 km (2,327 miles) in
about 74 hours and 55 minutes. The Bhopal Shatabdi Express is the fastest train in India
today having a maximum speed of 150 km/h (93.7 mph) on the Faridabad–Agra section.
The fastest speed attained by any train is 184 km/h (114 mph) in 2000 during test runs.
[edit] Freight

A single line rail bridge
IR carries a huge variety of goods ranging from mineral ores, fertilizers and
petrochemicals, agricultural produce, iron & steel, multimodal traffic and others. Ports and
major urban areas have their own dedicated freight lines and yards. Many important freight
stops have dedicated platforms and independent lines.
Indian Railways makes 70% of its revenues and most of its profits from the freight sector,
and uses these profits to cross-subsidise the loss-making passenger sector. However,
competition from trucks which offer cheaper rates has seen a decrease in freight traffic in
recent years. Since the 1990s, Indian Railways has switched from small consignments to
larger container movement which has helped speed up its operations. Most of its freight
earnings come from such rakes carrying bulk goods such as coal, cement, food grains and
iron ore.
Indian Railways also transports vehicles over long distances. Trucks that carry goods to a
particular location are hauled back by trains saving the trucking company on unnecessary
fuel expenses. Refrigerated vans are also available in many areas. The \"Green Van\" is a
special type used to transport fresh food and vegetables. Recently Indian Railways
introduced the special 'Container Rajdhani' or CONRAJ, for high priority freight. The
highest speed notched up for a freight train is 100 kilometres per hour (62 mph) for a
4,700 metric tonne load.
Recent changes have sought to boost the earnings from freight. A privatization scheme was
introduced recently to improve the performance of freight trains. Companies are being
allowed to run their own container trains. The first length of an 11,000-kilometre
(6,800 mi) freight corridor linking India's biggest cities has recently been approved. The
railways has increased load limits for the system's 225,000 freight wagons by 11%,
legalizing something that was already happening. Due to increase in manufacturing
transport in India that was augmented by the increase in fuel cost, transportation by rail
became advantageous financially. New measures such as speeding up the turnaround times
have added some 24% to freight revenues.

[edit] Rail budget and finances
A sample ticket; fares on this largest computer system network are quite reasonable.
The Railway Budget deals with planned infrastructure expenditure on the railways as well
as with the operating revenue and expenditure for the upcoming fiscal years, the public
elements of which are usually the induction and improvement of existing trains and routes,
planned investment in new and existing infrastructure elements, and the tariff for freight
and passenger travel. The Parliament discusses the policies and allocations proposed in the
budget. The budget needs to be passed by a simple majority in the Lok Sabha (Lower
House). The comments of the Rajya Sabha (Upper House) are non-binding. Indian
Railways is subject to the same audit control as other government revenue and
expenditures. Based on anticipated traffic and the projected tariff, requirement of resources
for capital and revenue expenditure of railways is worked out. While the revenue
expenditure is met entirely by railways itself, the shortfall in the capital (plan) expenditure
is met partly from borrowings (raised by Indian Railway Finance Corporation) and the rest
from Budgetary support from the Central Government. Indian Railways pays dividend to
the Central Government for the capital invested by the Central Government.
As per the Separation Convention (on the recommendations of the Acworth Committee),
1924, the Railway Budget is presented to the Parliament by the Union Railway Minister,
two days prior to the General Budget, usually around 26th February. Though the Railway
Budget is separately presented to the Parliament, the figures relating to the receipt and
expenditure of the Railways are also shown in the General Budget, since they are a part and
parcel of the total receipts and expenditure of the Government of India. This document
serves as a balance sheet of operations of the Railways during the previous year and lists
out plans for expansion for the current year.
The formation of policy and overall control of the railways is vested in Railway Board,
comprising the Chairman, the Financial Commissioner and other functional members of
Traffic, Engineering, Mechanical, Electrical and Staff departments.
Indian Railways, which a few years ago was operating at a loss, has, in recent years, been
generating positive cash flows and been meeting its dividend obligations to the
government. The railway reported a cash surplus of Rs 9000 cr in 2005, Rs 14000 cr in
2006, Rs 20,000 cr in 2007 and Rs.25,000 cr for the 2007-2008 fiscal year. Its operating
ratio improved to 76% while, in the last four years, its plan size increased from Rs. 13,000
cr to Rs. 30,000 cr. The proposed investment for the 2008-2009 fiscal year is Rs. 37,500 cr,
21% more than for the previous fiscal year.[1] Budget Estimates-2008 for Freight,

Passenger, Sundry other Earnings and other Coaching Earnings have been kept at Rs.
52,700 cr, Rs 21,681 cr, Rs. 5,000 cr and Rs 2,420 cr respectively. Maintaining an overall
double digit growth, Gross Traffic Earnings have been projected as Rs 81,801 cr.[1] Around
20% of the passenger revenue is earned from the upper class segments of the passenger
segment (the air-conditioned classes).[22]
Current issues and upgrades
Although accidents such as derailment and collisions are less common in recent times,
many are run over by trains, especially in crowded areas. Indian Railways have accepted
the fact that given the size of operations, eliminating accidents is an unrealistic goal, and at
best they can only minimize the accident rate. Human error is the primary cause, leading to
83% of all train accidents in India.[23] of mishaps. In the past, the Konkan Railway route has
suffered from landslides in the monsoon season, causing fatal accidents.
Outdated communication, safety and signaling equipment, which used to contribute to
failures in the system, is being updated with the latest technology. A number of train
accidents happened on account of a system of manual signals between stations, so
automated signaling is getting a boost at considerable expense. It is felt that this would be
required given the gradual increase in train speeds and lengths, that would tend to make
accidents more dangerous. In the latest instances of signaling control by means of
interlinked stations, failure-detection circuits are provided for each track circuit and signal
circuit with notification to the signal control centres in case of problems.[24] Though
currently available only in a small subset of the overall IR system, anti-collision devices
are to be extended to the entire system.[25] Aging colonial-era bridges and century-old
tracks also require regular maintenance and upgrading.
In recent years Indian Railways has laid claim to a financial turnaround, with (unaudited)
operating profits going up substantially.[26] Credit for this achievement has been claimed by
current Indian Railway Minister, Mr. Lalu Prasad Yadav, who asserts that he made
significant improvements in the operating efficiency of goods traffic after he took over as
Railway Minister in May 2004.[27]
The Sixth Pay Commission has been constituted in India to review the pay structure of
Government employees, and its recommendations are expected by the end of 2008. Based
on its recommendations, the salaries of all Railways officers and staff are expected to be
revised with retrospective effect (w.e.f. January 1, 2006). If previous Pay Commissions are
taken as an indicator, this revision could be 50%, thus having an impact on present and
future Railway budgets.

Comparison of different gauges common in India with the standard one, which is not
common in India
The Rajdhani Express and Shatabadi Express are the fastest trains of Indian Railways,
though they face competition from low-cost airlines since they run at a maximum speed of
only 150 kilometres per hour (93 mph).[28] At least five corridors are under consideration
for the introduction of high speed bullet trains to India with expert assistance from France.
It is estimated that to modernise Indian Rail and bring it up to international standards,
would require over US$200 billion in new and upgrade investments.[29]
IR is in the process of upgrading stations, coaches, tracks, services, safety, and security.[30]
Initially, various upgrade and overhaul work will be performed at more than fifty stations,
some of it by private contract. All meter gauge lines in the country will be converted to
broad gauge (see Project Unigauge). New LHB stainless steel coaches, manufactured in
India, are due to be introduced on all Rajdhani and Shatabdi trains by 2011.[25] These
coaches will enhance the safety and riding comfort of passengers besides having more
carrying capacity, and in time will replace thousands of old model coaches throughout
Indian Railways. More durable and conforming polyurethane paint is now being used to
enhance the quality of rakes and significantly reduce the cost of repainting. Improved
ventilation and illumination are part of the new scheme of things, along with the decision to
install air brake systems on all coaches. New manufacturing units are being set up to
produce state-of-the-art locomotives and coaches.[25] IR is also expanding its telemedicine
network facilities to further give its employees in far-flung and remote areas access to
specialized medicine.
Sanitation in trains and stations throughout the system is getting more attention with the
introduction of eco-friendly, discharge-free, green (or bio-) toilets developed by IIT
Kanpur. This costly makeover is expected to take up to. Updated eco-friendly refrigerant is
being used in AC systems while fire detection systems will be installed on trains in a
phased manner. New rodent-control and cleanliness procedures are working their way into
the many zones of IR. Central Railway's 'Operation Saturday' is gradually making progress,
station by station, in the cleanup of its Mumbai division.

Indian Rail Budget 2008-09
Highlights of Railway Budget 2008-09
Union Railway Minister Lalu Yadav presented the Railway Budget for 2008-09 in Parliament on
Tuesday,
26th February 2008. Following are the highlights:
Review of Performance : 2007-08
· Double digit growth in traffic earnings maintained in first nine months.
· Growth in passenger earnings 14%.
· Expected growth in goods earnings 14%.
· Gross Traffic Revenues 16% higher than the previous year and 2% higher than the Budget
Estimates.
· Operating Ratio likely to improve from the budgeted 79.6 to 76.3 per cent – best in last four
decades.
· Return on Capital – an all time high of 21 per cent.
· Cash Surplus before dividend expected to be a record Rs.25,000 cr.
· Net Revenue expected at Rs. 18,416 cr and surplus after payment of dividend expected at
Rs.13,534 cr.
Budget Estimates 2008-09
· Freight loading target: 850 million tones.
· Revenues in Freight earnings to be Rs.52,700 cr;
Passenger earnings to be Rs.21,681 cr.
· Gross Traffic Receipts to be Rs.81,901 cr – an increase of 12.6 per cent over RE.
· Cash surplus before Dividend to be Rs.24,783 cr after making an ad-hoc provision of nearly
Rs.5000 cr for
anticipated recommendations of the VI Central Pay Commission.
Annual Plan 2008-09
· The Annual Plan of Rs.37,500 cr is the largest ever Annual Plan so far.
· Thrust areas include enhancement of high density network routes, improvement and expansion of
traffic
facility and network, construction of flyovers, bypasses and upgradation of goods-sheds.
· New Lines - Rs.1,730 cr, Gauge conversion - Rs.2,489 cr, Electrification - Rs.626 cr,
Metropolitan
Transport Projects - Rs.650 cr.
· Track renewal - Rs.3,600 cr, Bridges - Rs. 600 cr,
Signal & Telecommunication works -Rs.1,520 cr, Road over/under bridges - Rs. 700 cr and
manning of
unmanned level crossings - Rs.600 cr.
· Passenger amenities - Rs. 852 cr, the highest so far.
· Targets : New Lines - 350 kms, Gauge conversion - 2,150 kms, Doubling - 1000 kms.
Passenger Services
Trains
· 10 new Garib Raths to be introduced.
· 53 pairs of new trains.
· Extension of trains : 16 pairs.
· Increase in frequency : 11 pairs.

· 300 additional services in Mumbai suburban.
· Special train from Anandpur Sahib and Patna Sahib to Gurudwara Sachkhand Sahib during
tercentenary
function of Shri Guru Granth Sahib of Gurta Gaddi.
· Special train between Pune and Delhi for Commonwealth Youth Games being held in Pune from
12th-18th October this year.
Amenities
· Provision of on-line coach indication display board; on-line train arrival departure information
board; on-line
reservation availability information board.
· Provision of discharge-free green toilets in all 36,000 coaches in XI Plan period at a cost of
about
Rs.4,000 cr.
· LHB design coaches for all Rajdhani and Shatabdi trains over next few years.
· Provision of LHB coaches with stainless steel bogies in Mail/Express trains.
Concessions
· Senior citizen concession for women enhanced to 50% from existing 30%.
· Free Monthly Seasonal Ticket to girl students up to graduation level in place of 12th standard and
for
boys up to 12th standard in place of 10th standard.
Improvements in ticketing
Termination of queues at ticket counters targeted in two years.
· Ticket booking on mobile phones; E-ticket for waitlisted passengers.
· Increase in Unreserved Ticketing Systems counters to 15,000 and ATVMs to 6000.
Reduction in passenger fares
· One rupee discount per passenger for fares up to Rs.50 in non suburban Second Class (ordinary
and
mail/express)
· 5% discount across the board for passenger fares beyond Rs.50 for all non suburban Second
Class
(ordinary and mail/express).
· Increase in discount for travel in new design high capacity reserved coaches.
· Reduction in fare – AC-I : 7%; and AC-II : 4% (the reduction will be half for popular trains and
during peak
period).
Freight Business Reductions & Concessions
· 5% reduction in freight rates for Petrol and Diesel.
· 14% reduction in freight rate of Fly-ash.
· Liberalisation of Traditional Empty Flow direction incentive scheme
- 30% discount on entire traffic in place of incremental traffic booked from goods shed.
- Increase in discount on incremental traffic booked from private sidings from 30% to 40%.
· 6% freight concession for traffic booked from other
States for stations in North Eastern States.
New Initiatives
· Target for loading fixed at 850 MT in 2008-09.
· Blue - Print prepared for High Density Network.
· Top priority being given to port rail connectivity projects.
· New and dedicated iron ore routes to be upgraded/constructed.
· Work on Eastern freight corridor from Ludhiana to Dankuni (Kolkata) and Western freight corridor
from
Delhi to JNPT to start in 2008-09.
Procurement of Rolling Stock:
All time high of 20,000 wagons, 250 diesel and 220 electric locomotives to be manufactured.
· New Wagon Leasing Policy and Wagon Investment Scheme formulated to increase availability of
wagons in the system.
· Discounts for development of bulk and non-bulk goods terminals.

Safety & Security
· Multi-pronged scheme to strengthen railway safety through various automatic devices like anti-
collision
device etc.
· Rail accidents have reduced remarkably despite substantial increase in gross traffic volumes.
· Fire resistant material to be used in coaches.
· Unmanned level crossings at busy sections to be manned on a fast track basis.
· Integrated security plan drawn up through installation of CCTVs, metal detectors etc.
Welfare Measures
Social Welfare
· 99% backlog vacancies for SCs/STs filled up in special campaign launched since 2004.
· Appointment of candidates from SCs/STs/OBCs exceeded their respective quotas in Group D
appointments.
· Minorities welfare cells to be opened at Railway
Board and Zonal Railways.
· One time exercise of appointing Railway Porters as gangmen and to other Group D posts.
· Mother-Child Health Express to be run on a pilot basis at concessional fares in collaboration with
Rajiv
Gandhi Foundation for providing medical facilities to mother and child.
Staff Welfare
Per-capita contribution to Staff Benefit Fund to be increased by ten times from Rs.35 to Rs.350
for
2008-09.
· Northern Railway Central Hospital at Delhi to be made centrally air-conditioned.
· Two divisional hospitals at Jaipur and Hubli to be upgraded to central hospitals.
· A new divisional hospital at Ranchi and an OPD block at Integral Coach Factory to be
constructed.
· Employees who joined Railways from other agencies/PSUs etc and are eligible for pensionary
benefits,
would now be eligible for post retirement complimentary passes as per the norms being set.
Future Vision
· Vision 2025 document aims at setting the roadmap for coming 17 years – customer centric and
market
responsive strategic initiatives.
· Information Technology Vision 2012 aims at radical changes in IT applications on a common
platform
with focus on improvement in operational efficiency, transparency in working ad better services to
the
customers.
· Multi-Departmental Innovation Promotion Group at Apex Level.
· Public-Private Partnership schemes to be launched for attracting an investment of Rs.1,00,000 cr
over
the next five years for developing world class stations, rolling stock ad other logistics.
· Commercial use of Railway land by Rail Land Development Authority to give a boost to Railway
Revenues.
Other Important Announcements
· A new rail coach factory to be set up in Kerala.
· A new wagon re-construction unit to be set up at Garkha in Chapra District.
· Modernisation and development of Workshops at Jamalpur, Lilluah, Perambur and Ajmer.
· Taking over of Mokama and Muzaffarpur wagon factories.
· Setting up of a 1000 MW thermal power plant, a joint venture of Indian Rail Bijli Company Ltd.
with
NTPC, at Nabinagar District of Auragabad, Bihar.

Highlights of Railway Budget 2008-09
Union Railway Minister Lalu Yadav presented the Railway Budget for 2008-09 in Parliament on
Tuesday, 26th February 2008.
Following are the highlights of the Railway Budget:
Review of Performance : 2007-08
· Double digit growth in traffic earnings maintained in first nine months.
· Growth in passenger earnings 14%.
· Expected growth in goods earnings 14%.
· Gross Traffic Revenues 16% higher than the previous year and 2% higher than the Budget
Estimates.
· Operating Ratio likely to improve from the budgeted 79.6 to 76.3 per cent – best in last four
decades.
· Return on Capital – an all time high of 21 per cent.
· Cash Surplus before dividend expected to be a record Rs.25,000 cr.
· Net Revenue expected at Rs. 18,416 cr and surplus after payment of dividend expected at
Rs.13,534 cr.
Budget Estimates 2008-09
· Freight loading target: 850 million tones.
· Revenues in Freight earnings to be Rs.52,700 cr;
Passenger earnings to be Rs.21,681 cr.
· Gross Traffic Receipts to be Rs.81,901 cr – an increase of 12.6 per cent over RE.
· Cash surplus before Dividend to be Rs.24,783 cr after making an ad-hoc provision of nearly
Rs.5000 cr for
anticipated recommendations of the VI Central Pay Commission.
Annual Plan 2008-09
· The Annual Plan of Rs.37,500 cr is the largest ever Annual Plan so far.
· Thrust areas include enhancement of high density network routes, improvement and expansion of
traffic
facility and network, construction of flyovers, bypasses and upgradation of goods-sheds.
· New Lines - Rs.1,730 cr, Gauge conversion - Rs.2,489 cr, Electrification - Rs.626 cr,
Metropolitan
Transport Projects - Rs.650 cr.
· Track renewal - Rs.3,600 cr, Bridges - Rs. 600 cr,
Signal & Telecommunication works -Rs.1,520 cr, Road over/under bridges - Rs. 700 cr and
manning of
unmanned level crossings - Rs.600 cr.
· Passenger amenities - Rs. 852 cr, the highest so far.
· Targets : New Lines - 350 kms, Gauge conversion - 2,150 kms, Doubling - 1000 kms.
Passenger Services
Trains
· 10 new Garib Raths to be introduced.
· 53 pairs of new trains.

· Extension of trains : 16 pairs.
· Increase in frequency : 11 pairs.
· 300 additional services in Mumbai suburban.
· Special train from Anandpur Sahib and Patna Sahib to Gurudwara Sachkhand Sahib during
tercentenary
function of Shri Guru Granth Sahib of Gurta Gaddi.
· Special train between Pune and Delhi for Commonwealth Youth Games being held in Pune from
12th-18th October this year.
Amenities
· Provision of on-line coach indication display board; on-line train arrival departure information
board; on-line
reservation availability information board.
· Provision of discharge-free green toilets in all 36,000 coaches in XI Plan period at a cost of about
Rs.4,000 cr.
· LHB design coaches for all Rajdhani and Shatabdi trains over next few years.
· Provision of LHB coaches with stainless steel bogies in Mail/Express trains.
Concessions
· Senior citizen concession for women enhanced to 50% from existing 30%.
· Free Monthly Seasonal Ticket to girl students up to graduation level in place of 12th standard and
for
boys up to 12th standard in place of 10th standard.
Improvements in ticketing
Termination of queues at ticket counters targeted in two years.
· Ticket booking on mobile phones; E-ticket for waitlisted passengers.
· Increase in Unreserved Ticketing Systems counters to 15,000 and ATVMs to 6000.
Reduction in passenger fares
· One rupee discount per passenger for fares up to Rs.50 in non suburban Second Class (ordinary
and
mail/express)
· 5% discount across the board for passenger fares beyond Rs.50 for all non suburban Second
Class
(ordinary and mail/express).
· Increase in discount for travel in new design high capacity reserved coaches.
· Reduction in fare – AC-I : 7%; and AC-II : 4% (the reduction will be half for popular trains and
during peak
period).
Freight Business Reductions & Concessions
· 5% reduction in freight rates for Petrol and Diesel.
· 14% reduction in freight rate of Fly-ash.
· Liberalisation of Traditional Empty Flow direction incentive scheme
- 30% discount on entire traffic in place of incremental traffic booked from goods shed.
- Increase in discount on incremental traffic booked from private sidings from 30% to 40%.
· 6% freight concession for traffic booked from other
States for stations in North Eastern States.
New Initiatives
· Target for loading fixed at 850 MT in 2008-09.
· Blue - Print prepared for High Density Network.
· Top priority being given to port rail connectivity projects.
· New and dedicated iron ore routes to be upgraded/constructed.
· Work on Eastern freight corridor from Ludhiana to Dankuni (Kolkata) and Western freight corridor
from
Delhi to JNPT to start in 2008-09.
Procurement of Rolling Stock:
All time high of 20,000 wagons, 250 diesel and 220 electric locomotives to be manufactured.
· New Wagon Leasing Policy and Wagon Investment Scheme formulated to increase availability of
wagons in the system.

· Discounts for development of bulk and non-bulk goods terminals.
Safety & Security
· Multi-pronged scheme to strengthen railway safety through various automatic devices like anti-
collision
device etc.
· Rail accidents have reduced remarkably despite substantial increase in gross traffic volumes.
· Fire resistant material to be used in coaches.
· Unmanned level crossings at busy sections to be manned on a fast track basis.
· Integrated security plan drawn up through installation of CCTVs, metal detectors etc.
Welfare Measures
Social Welfare
· 99% backlog vacancies for SCs/STs filled up in special campaign launched since 2004.
· Appointment of candidates from SCs/STs/OBCs exceeded their respective quotas in Group D
appointments.
· Minorities welfare cells to be opened at Railway
Board and Zonal Railways.
· One time exercise of appointing Railway Porters as gangmen and to other Group D posts.
· Mother-Child Health Express to be run on a pilot basis at concessional fares in collaboration with
Rajiv
Gandhi Foundation for providing medical facilities to mother and child.
Staff Welfare
Per-capita contribution to Staff Benefit Fund to be increased by ten times from Rs.35 to Rs.350
for 2008-09.
· Northern Railway Central Hospital at Delhi to be made centrally air-conditioned.
· Two divisional hospitals at Jaipur and Hubli to be upgraded to central hospitals.
· A new divisional hospital at Ranchi and an OPD block at Integral Coach Factory to be
constructed.
· Employees who joined Railways from other agencies/PSUs etc and are eligible for pensionary
benefits,
would now be eligible for post retirement complimentary passes as per the norms being set.
Future Vision
· Vision 2025 document aims at setting the roadmap for coming 17 years – customer centric and
market
responsive strategic initiatives.
· Information Technology Vision 2012 aims at radical changes in IT applications on a common
platform
with focus on improvement in operational efficiency, transparency in working ad better services to
the
customers.
· Multi-Departmental Innovation Promotion Group at Apex Level.
· Public-Private Partnership schemes to be launched for attracting an investment of Rs.1,00,000 cr
over
the next five years for developing world class stations, rolling stock ad other logistics.
· Commercial use of Railway land by Rail Land Development Authority to give a boost to
Railway Revenues.
Other Important Announcements
· A new rail coach factory to be set up in Kerala.
· A new wagon re-construction unit to be set up at Garkha in Chapra District.
· Modernisation and development of Workshops at Jamalpur, Lilluah, Perambur and Ajmer.
· Taking over of Mokama and Muzaffarpur wagon factories.
· Setting up of a 1000 MW thermal power plant, a joint venture of Indian Rail Bijli Company Ltd.
with
NTPC, at Nabinagar District of Auragabad, Bihar.