Business Standard

Railway ministry resumes consultation on private train operations

The consultations gained relevance after the Railway Board had to scrap the first bid round due to lacklustre participation

Infrastructure, railways, tracks, disinvestment, privatisation
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The routes were to be awarded on the basis of revenue shares that bidders made.

Twesh Mishra New Delhi
Probable bidders for running private trains in the country are looking for lower operating costs.

According to officials in the know, the railways ministry has begun consultations with private-sector representatives for once again tendering routes to run commercial passenger trains.

The consultations gained relevance after the Railway Board had to scrap the first bid round due to lacklustre participation.

Representations before the ministry cite high costs of rakes, elevated haulage, and a mandatory base fare as matters of concern for the private sector.

“The currently fixed haulage for stationary and moving rakes are a matter of concern for the viability of private passenger rail

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