Question : IMPROVEMENT IN FINANCIAL CONDITION

(a) whether any scheme has been formulated to improve the poor financial condition of the railways and to strengthen the railway safety system;

(a) if so, the details thereof; and

(b) the expenditure likely to be incurred on the said schemes?

MINISTER OF RAILWAYS (SHRI NITISH KUMAR)


(a) to (c): A Statement is laid on the Table of the Sabha


STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) OF LOK SABHA STARRED QUESTION NO. 166 BY DR. ASHOK PATEL TO BE ANSWERED ON 2.8.2001 REGARDING IMPROVEMENT IN FINANCIAL CONDITION


(a) to (c) : Yes, Sir. Railways are taking steps to improve the financial condition by increasing revenues and also by controlling expenditure. Earnings are expected to improve with increased economic activity coupled with aggressive marketing and improved service. Apart from this, Railways have also initiated steps to raise revenue by mobilising resources from non-traditional sources such as leasing of ‘right of way’ for laying Optic Fibre Cables, commercial utilisation of land and air space and commercial publicity on rolling stock and station buildings. Measures have been taken to control expenditure by right sizing staff strength, improving staff productivity, asset utilisation, inventory management, fuel consumption and by ensuring austerity in areas such as travel, publicity, hospitality etc. Efforts are also being made to curb leakage of revenue and pilferages.


As regards Railway Safety, the `Railway Safety Review Committee` in its interim report has recommended that the Central Government provide a one time grant of Rs. 15,000 Crores for rehabilitation of their over-aged assets. The Government has agreed in principle to set up a Non-Lapseable Railway Safety Fund of Rs. 17,000 Crores. The detailed modalities for sourcing and operation of fund are being worked out.