Bumper discount by Indian Railways: Fares of AC trains slashed by 25 per cent

New Delhi, India

In a move aimed at optimising the utilisation of accommodation in trains, the Railway Ministry has granted powers to Zonal Railways to introduce a discounted fare scheme for  AC trains. The decision will result in a reduction of fares by up to 25 per cent for AC chair cars and executive classes across all trains, including the premium Vande Bharat Express, according to a Hindustan Times report.

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The discounted fare scheme will apply to AC chair cars and executive classes on trains that offer AC sitting accommodation, including coaches such as Anubhuti and Vistadome.

Discount linked to occupancy rate

Under this scheme, the discount will be applied to the basic fare and can be up to a maximum of 25 per cent. Additional charges like reservation fees, super-fast surcharges and GST will be levied separately. The discount may be offered in any or all classes based on the occupancy rate of the respective class.

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To determine the eligibility for the discount, the occupancy rate of the train's classes will be assessed over the last 30 days. If the occupancy rate is below 50 per cent for a specific leg/section of the journey or end-to-end, the discount will be applicable. The fares of competitive modes of transportation will be considered while deciding the rate of discount.

The discount can be applied to the first leg, last leg, intermediate sections, or the entire journey, depending on the occupancy rate. However, passengers who have already booked their tickets will not be eligible for a refund of the fare difference.

How long will be the discount period?

The discounted fare scheme will be initially implemented for a period decided by the Principal Chief Commercial Managers (PCCMs) of the respective zones, corresponding to the train's originating station. 

The scheme will be in effect for a maximum of six months from the implementation date. The discount may be offered for the entire duration or part duration, month-wise, seasonally, or on specific days of the week, based on the demand pattern during the designated period.

For trains with inter-zonal Origin-Destination (O-D) pairs or destinations, the discount may be applied in consultation with the PCCMs of other Zonal Railways or the Managing Director or COM/CCM in the case of Konkan Railway Corporation Limited (KRCL).

Regular reviews will be conducted, and based on the occupancy rate, the discount may be modified, extended, or withdrawn.

If modifications or the withdrawal of the scheme are decided, they will also be implemented immediately. However, passengers who have already booked their tickets will not be required to pay any fare difference.