New Delhi : Railway freight traiff will go up from October 1 due to the increase in fuel cost but passenger fares will remain untouched, according to Minister of State for Railways Adhir Ranjan Chowdhury. However, he did not quantify the percentage of hike in freight tariff saying it was a budget proposal to review the fuel adjustment component (FAC) after six months.
“Tariff has already been increased. As per the proposal of the budget, it will be hiked again in October,” Chowdhury said on the sidelines of a conference.
Railways had earlier hiked the freight rate by 5.7 per cent in April 1 while linking the fuel adjustment component (FAC) with goods tariff. FAC is linked with fuel and energy prices and calculated accordingly. Asked whether passenger fares will also be considered for further hike, Chowdhury replied in the negative. “No it will be freight only,” he said.