Rail Budget 2016-17 at a glance

Rail Budget 2016-17 at a glance

Q. What is Budget (Annual Financial Statement)?

Ans: Article 112 of the Constitution states that , A statement of Estimated receipts and expenditure of the Government of India has to be laid before Parliament of every financial year which runs from 1st April to 31st March. This Statement called “Annual Financial Statement” is the General Budget document.

One interesting fact is that in Indian Constitution no where is mentioned the term “BUDGET”

Q.Types of Budget?

Ans: There are two kinds of budget namely Railway budget and General budget.

The railway budget precedes the general budget.

Or General Budget is followed by Railway Budget.

Q. Why Rail Budget Separated from General Budget?

Ans: In 1921, the Acworth Committee recommended, and ratified through the Resolution for separation of Rail Budget in 1924, that the Indian Railway finances should be separated from the General Finances.

Q. What are included in Railway Budget?

Ans: The Rail Budget highlights on the improvement in trains and routes.

As per convention, the railway budget is presented by the Union Railway Minister in Parliament.

The discussion is held on the policies and allocations are made in the budget, which is passed with a simple majority in the Lok Sabha.

Highlights of the Rail Budget 2016-17:

· Railway Minister Suresh Prabhu presented his 2^ND rail budget this year.

· 3^RD  Rail Budget of Present NDA govt.

· Rail fares remain unchanged.

· Theme of the Railway Budget 2016-17 :  Overcoming challenges – Reorganize, Restructure and Rejuvenate Indian Railways: “Chalo Milkar Kuch Naya Karen”
· Three pillars of the strategy: Nav Arjan – Raise New revenues, Nav Manak – New norms, Nav Sanrachna – New Structures.

· Core objective: To become engine of economic growth, create employment and provide customer service.

· Investment would be close to double of the average of previous 5 years.

• Targeted Operating Ratio (OR) kept at 92% FY17 as against 90% in current year.

Q.:What is Operating Ratio (OR)?

Ans.: It is a financial ratio used for large industries to define operating expenses as a percentage of revenue.

• To generate revenues of order of Rs.1,84,820 cr next year which is a 10.1% higher than revised target of current year.

• The Capital plan CAPEX pegged at Rs 1.21 lakh crore through joint ventures with states, developing new frameworks for PPP, etc.

•New freight corridors announced: Delhi-Chennai, Kharagpur-Mumbai, Kharagpur-Vijayawada.

•North-East India, especially Mizoram and Manipur, to be connected through broad gauge soon.

•commission 2,800 km of new tracks in next year.

•We have received in-principle approval from 17 States to form joint ventures.

•1,600 km of electrification this year and 2,000 km proposed for the next year.

•Setting up 2 locomotive factories. New factories to be set up with an order book of Rs. 40,000 crore.

•To commission broad gauge lines at the rate of 7 km per day against 4.5 km over last five years.

•A full-fledged Railway University soon.

•Introduce Deen Dayal coaches for long distance trains for unreserved passengers.

•Fully unreserved superfast trains to be introduced on dense traffic routes.

•Long distance superfast train Antyodaya Express for unreserved passsengers.

•Opened long awaited Broad Gauge Lumding-Silchar section in Assam, connecting Barak Valley with rest of country.

•Plan to introduce bar-coded tickets on pilot basis to tackle menace of ticketless travel.

•IRCTC will begin to manage catering service in phased manner.

•All new Railway stations to be built as per Accessible India guidelines.

•Railway have also revamped our internal audit system with view to bringing in efficiency in working practices.

•Railway intend to publish Rail Bandhu magazine in all regional languages.

•Railway  will set aside Rs. 50 crore for providing innovation grants to start-ups.

•Drones to be used for remote monitoring of ongoing projects.

•Railway’ll increase the advertising revenue by more than four times this year.

•Railway intend to give special focus to exploring advertising potentials at big stations.

•In-principal nod for MUTP projects received.

•India’s first rail auto hub to come up in Chennai.

•Special purpose vehicle for the Ahmedabad-Mumbai high speech corridor registered this month.

•A full-fledged market study on freight basket underway for revival of freight share.

•Railway will work with Karnataka State Government for suburban rails.

•Ring Railway to be redeveloped in partnership with the Delhi government.

•Railway Minister invited FM radio stations to provide train borne entertainment via PA systems.

•last year Railway had launched a coastal connectivity program. Tuna Port was commissioned this year and rail connectivity.

•projects to ports of Jaigarh, Dighi, Rewas and Paradip are under implementation.

• Aimed to generate 10-20% of revenues from non-tariff sources over next 5 years by monetizing assets.

• Railways will get Rs 40,000 crore budgetary support from the government.

• Railways incurred a loss of Rs 30,000 crore by subsidizing passenger fares.

• Rs 8.5 lakh crore to be spent over 5 years for modernization of railway infrastructure

• To have 2,800 kms of new tracks in next year, almost 30% higher than last year target.

• Two dedicated freight corridors by 2019.

• Railway electrification have increased by 50% & 2,000 km route to be electrified next fiscal year.

• 400 stations to be re-developed through PPP (Public Private Partnership).

• 2 locomotive factories at the cost of Rs 40,000 crore to be set up.

• Overnight double-Decker train Uday Express to be introduced on busiest routes which will increased carrying capacity with 40% more.

• Three direct services, fully air-conditioned Humsafar, to travel at 130km per hour will be starting this year.

• Lower berth quota for senior citizens to be increased by 50%

• 33% of sub-quota for women in each of the reserved categories will be introduced.

• Railways to increase the quota of lower berths for women and senior citizens.

• Introduction of Sarthi Seva in Konkan Railways for help to senior citizens.

• Announcement of measures for women security: All India 24X7 helpline, CCTV surveillance, reserved middle bay in coaches.

• CCTV surveillance at all stations, 311 major stations will be covered this year.

• To Generate Rs 9 crore man days in FY17-18, Rs 14 crore man days in FY18-19.

• Completely paperless contract system in 2016-17.

• 124 MPs have committed to contribute from MPLADS for passenger amenities.

• WiFi in 100 stations this year and 400 other stations next year.

• Enhanced capacity of e-ticketing system - from 2000 tickets a minute to 7200 a minute (to support 120,000 concurrent users).

• e-ticket facility for foreign debit and credit card holders.

• Introduced 1,780 ticket-vending machines.

• LIC has agreed invest Rs. 1.5 lakh crore over 5 years on extremely favourable terms.

• 44 new projects valued at Rs 92,714 crore to be implemented this year.

• 17 states agree to form JVs with Indian Railways for construction of rail-over-bridges.

• To introduce 20,000 screen rail display network for passing info to passengers and huge advertising potential.

• Elevated rail corridors from Church gate to Virar and CST to Panvel on the cards.

• A sum of Rs. 50 crores for providing innovation grants to start-ups has been kept aside.

• Installation of GPS-based digital display in coaches for showing upcoming stations.

• Now the Coolies will be called 'Sahayaks'.

• Children's menu, baby foods, baby boards to be made available for travelling mothers.

• Helpline number 139 will be available to passenger soon  to do cancellation of ticket.

• Journalists to get facility of e-booking of tickets on concessional passes.

• Planning to introduce bar-coded tickets on pilot basis to tackle menace of ticket less travel.

• Opened long awaited Broad Gauge Lumding-Silchar section in Assam, connecting Barak Valley with rest of country.

• Introduction of Deen Dayal coaches for long distance trains for unreserved passengers.

• Introduction of Tejas, the future of train travel with operating speeds of 130 kph. 

• National academy of railways at Vadodara to be upgraded to a full-fledged Railway university.

• Railways will partner with Gujarat, Telangana & Tamil Nadu for developing suburban sections in Ahmedabad, Hyderabad & Chennai by innovative financing mechanism.

• Intend to take up on priority provision of passenger amenities and beautification of stations at pilgrimage centres including Ajmer, Amritsar, Bihar Sharif,  Chengannur, Dwarka, Gaya, Haridwar, Mathura, Tirupati, & Varanasi.

• Vision of zero direct discharge of human waste.

• World's first Bio-vacuum toilet developed by Indian Railways is being used in Dibrugarh Rajdhani express.

• Swacch Bharat: 17,000 bio-toilets and additional toilets to be provided by end of this Fiscal Year.

• By 2020, plans to eliminate all unmanned level crossings.

• Foreign Rail Technological Cooperation scheme to be formulated for technological up gradation.

• Wireless enabled 'Rakshak' devices to intimate gang men about approaching train.

• Introduction of separate toilets for physically challenged (divyaang)  people.

• To introduce Humsafar Express, full air-conditioned third AC service with operational services for meals.

• Poised to commission 7km of broad gauge lines in 2017 against an average of 4.3 km.

• 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.

• Improved punctuality

• Higher average speed of freight trains.

• Semi high speed trains running along the golden quadrilateral,

Gift of four new express trains:

Antyodaya – These superfast trains will have only unreserved coaches and will be focusing on transportation of common man in a time-bound situation with no high range of fare.

Humsafar – This particular train will target the middle level of class of India and will only have fully 3rd Ac compartments with carrying optional meals.

Tejas – Lots of people waiting for the bullet train in India and Tejas would be a perfect example for the bullet train running up to the high speed of 130 km per hour.

Uday – Currently the double-decker running on the Delhi-jaipur track but very soon Uday double decker train would also be introduce for the passengers of busy routes. These trains will run in overnight and will connect the major cities of India.

Download:
Rail Budget Speech (English)
Rail Budget Speech (Hindi)
Rail Budget Highlights (English)
Rail Budget Highlights (Hindi)