Mumbai local trains incurred loss of over Rs 3,000 cr in 3 yrs
Mumbai suburban trains have incurred a loss of Rs 3,394 crore in three years ending 2014-15 due to highly subsidised fare structure, Railway Minister Suresh Prabhu said on Friday. Expressing concern over the excess load in Mumbai suburban railway section, he said the Centre is discussing with Maharastra government for construction of an elevated corridor to decongest the traffic. “Mumbai suburban railways and other local trains in Chennai and Kolkata are incurring losses. The reason is highly subsidised fare structure,” Prabhu said in the Rajya Sabha. Total loss incurred by Mumbai local trains during the three years is Rs 3,394 crore, he said. Despite running to their full capacity, the Minister said that Mumbai local trains are incurring losses due to subsidised rates as commuters are given subsidised monthly, quarterly and yearly tickets which are more subsidised than the second-class ordinary fares.
The other reason is that the rail earnings are not keeping pace with the increase in expenditure every year, Prabhu added. Replying to another query on decongesting the traffic in local trains, the Minister said, “For Mumbai, sub-urban railway is lifeline. Maintenance and strengthening local trains is our priority. The present capacity is not sufficient to carry the load.”