Rail Budget 2014: FM Arun Jaitley says recent rail fare hike a 'UPA legacy'

By Super
Subscribe to GoodReturns
For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts
    Rail Budget 2014: FM Arun Jaitley says recent rail fare hike a 'UPA legacy'
    Finance Minister Arun Jaitley blamed the recent hike in rail fares on decisions taken under the previous UPA regime and said that the BJP-led government should be judged from what is presented as part of its own Railway Budget.

    "The fair hike which has happened is your (UPA's) legacy. Whether we hike it or not, you will get to know tomorrow," Jaitley said on Monday while addressing the Congress benches in Rajya Sabha during a discussion on price rise.
    Railways recently implemented a 14.2 per cent hike in passenger fares along with a 6.5 per cent raise in freight charges.

    Jaitley said there was a need to understand the situation in which the UPA dispensation had left the Railways. A major allegation against UPA, Jaitley said, is that it eschewed hard decisions even when those were in the public interest, leading to the present state of affairs.

    He said that in February this year, the losses incurred by Railways on the basis of passenger fares alone touched Rs 30,000 crore.

    Jaitley claimed that as the losses got so inflated by February that they threatened to bring things to a standstill, the then Rail Minister approached the government with a proposal to hike fares on February 6. And, on February 11, the then Prime Minister agreed to the rise in rail fares, he said.

    "At the Prime Minister's suggestion, it was decided to implement the fare and freight revision with effect from the first week of May 2014," Jaitley added.

    He said that as there was a feeling the parliamentary polls would be over by May, the proposal that was cleared was for raising the fares only after that exercise.
    On May 16, as the results were being announced, Indian Railway Board issued a notification giving effect to the then Prime Minister's direction.

    PTI

    Company Search
    Enter the first few characters of the company's name or the NSE symbol or BSE code and click 'Go'

    Find IFSC

    Get Latest News alerts from Goodreturns

    We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more