Railways To Introduce Surge Pricing System For Premium Trains

If you have any travel plans in September, you might just want to give it a thought one more time:

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Here are the main highlights of what we are talking about:

  • The surge pricing system will be applicable tomorrow onwards, i.e., September 9.
  • The new rules will apply to three premium trains– Duronto, Shatabdi and Rajdhani
  • Since there are already existing high fares in First AC and Executive Class, these segments will be kept out of the flexi fare system

Read on to find out more:

The Indian Railways is all set to introduce surge pricing system for Duronto, Shatabdi, and Rajdhani trains. Now passengers will have to pay 10 to 50 percent more for the train tickets, starting September 9. The idea to rake in Rs. 500 crore more during the current financial year under the dynamic surge pricing system.

10% of the seats will be booked at the usual fare in the starting, but it will increase by 10% with every 10% of berths sold, to an upper limit of 50%. This flexi fare system will be introduced in Chair Car, AC 2-Tier, and AC 3-Tier in trains, besides in the Sleeper class in Duronto trains. Due to already existing high fares in First AC and Executive Class, these segments have been kept out the dynamic surge pricing system.

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According to Mohammed Jamshed, a Railway Board Member, the base fare of these premium trains (Duronto, Rajdhani, and Shatabdi) will depend on the flexi fare system.

The aim of the railways is to earn about Rs. 500 crore from these trains on the basis of the new fare system. There are a total of 54 Duronto, 46 Shatabdi, and 42 Rajdhani trains. The revenue target from passengers for the current fiscal is Rs. 51,000 crore.

Jamshed further added, “We are introducing the flexi fare system, which is dynamic in nature, in these trains on an experimental basis and it will be reviewed after 3/4 months”.

While for Chair Car and AC 2-Tier, the maximum hike will be 50%, AC 3-Tier will observe a hike of 40%, which also indicates that the hike will be about one and a half time more in the flexi system. However, other supplementary charges relating to catering, service tax, reservation, and superfast charges shall remain unchanged.

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