Cheap airfares are quickly becoming history and with that, recent additions to the flying classes are being priced out. Is Lalu Prasad tracking that data? When aviation turbine fuel prices nearly doubled recently, domestic airlines had to pass on some of the costs to passengers. The fuel surcharge on tickets has now completely changed passenger economics?the surcharge for a long-haul flight of more than 700 kilometres is more than the fare of first-class AC trains covering the same distance. That?s the kind of data the railways should be looking at. A typical Delhi-Mumbai trip on a no-frills airline, which cost just Rs 2,900 in May 2007, is now priced at around Rs 4,000 to Rs 4,400. For full-service carriers, the ticket price ranges between Rs 5,000 and Rs 8,000. At the same time, the cost of an AC two-tier ticket in the Delhi-Mumbai Rajdhani has remained almost constant at Rs 1,975. On non-Rajdhani trains, an AC-First fare costs Rs 2,600, AC two-tier costs Rs 1,550 and AC three-tier is priced at just over Rs 1,100?almost 400% cheaper than current airfares.
The railways is already benefiting. There?s been incremental growth in rail passenger traffic over the last 15 months?roughly the time period when airlines started raising ticket prices. But the railways would be making a terrible tactical mistake by simply being happy with regaining the price advantage for upper-class fares. This is the time to upgrade services and technical parameters so that aviation?s likely long slump turns into railways? long-standing benefit. Premier trains like the Rajdhani and Shatabdi have distinctly non-premier attributes?ageing rolling stock, lack of on-board cleanliness and poor catering. Indian Railways has a particularly dubious track record in coach replacement and new coach introduction. Consider this: in 2005-06, the replacement of rolling stock of passenger carriages was around 300 units; but rail coach factories in Kapurthala and Chennai produce 1,300 units a year. Speed is another problem. A super-fast train should be exactly that. So, more tracks and upgradation of the signalling system are musts. Lalu Prasad has taken credit for the railways? record surplus of Rs 20,000 crore. But smart investments are what he must start making now. Indian Railways can cater to a segment of passengers who recognise and reward quality service.
