Indian Railways in a bid to make train ticket prices more competitive and increase revenue is planning a massive rejig of its flexi-fare scheme, introduced in September 2016.
Under the plan, the behemoth looks to dilute flexi-fare scheme by scrapping the dynamic pricing model for one-third of the premium trains covered under the scheme. Notably, the flexi-fare scheme was introduced for premium category super-fast trains that include 44 Rajdhani, 46 Shatabdi and 52 Duronto trains.
As per the flexi-fare scheme rules, train tariffs or fare go higher by 10% after reservation on 10% of the berths or seats is made. Further, there is a tariff cap of 140% for AC-III tier class while for all other classes of travel, the cap is pegged at 150% except for executive Chair car and AC First. So, soon after the flexi-fare scheme by Indian Railways came into force, it became cheaper to travel by air on some of the routes.
In accordance with the leading daily report, flexi-fare scheme will be scrapped for some 40 trains while for remaining 102 trains covered under the scheme, the national transporter may provide up to 50% rebate on last-minute booking. The condition will apply for up to 4 days before the scheduled departure of the train. Also the report added that for trains with low occupancy, a graded discount scheme may be introduced.
The leading daily report suggests that the railway board has sent final recommendations pertaining to flexi-fare scheme to Railways Minister Piyush Goyal. And in accordance with the sources final clearance by the ministry is awaited.