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                 provide passage to some village, building a bridge
                 or subway. Even introducing a new stop for fast
                 Express trains has wide implications on the popular-
                 ity of the Railway Minister, though the rationale may
                 be questionable.
                   Such has been the charm of this ministry that in
                 every coalition government in the past, support from
                 the coalition partner has come with the precondition
                 of the railway portfolio being part of the deal. Suc-
                 cessively, from Ram Vilas Paswan to Nitish Kumar,
                 Mamata Banerjee to Lalu Prasad Yadav, each one has
                 exploited the Railways to extend his popularity in his
                 own bastion. While the cost of operations continues
                 to rise with increasing wages, fuel and electricity and   its weak bureaucracy. The Railway Board performs
                 road transport cost increasing in tandem, yet each of   the combined function of policy as well as opera-
                 the ministers tried to prove a point — that they could   tion, and is manned by career professionals who are
                 run the system as efficiently or better than the pre-  pliable as they carry the baggage of their past field
                 vious one — without raising passenger fares. Even   workings. Railway Ministers have unlimited power
                 Prabhu also could not rise above the allurement of   to get their desired outcomes from this pliable Board
                 using this great institution to nurse his own constitu-  and bureaucracy.
                 ency Mumbai, where no rationalisation of suburban
                 fares has been undertaken. Also, many a railway   Surge pricing
                 project is being sanctioned for Mumbai which does   Unable to achieve an increase in passenger fares,
                 not weigh correctly on economic balance. Succes-  the Railway Board time and again resorted to the
                 sive railway ministers tried to prove that they could   easy way out, raising fares for upper-class seats, and
                 manage without raising passenger fares, despite    for Rajdhani and Shatabdi trains, which have now
                 rising costs                                     started feeling the heat of competition from airlines.
                   The public sector has  ushered  in economic    These trains are profit making but a series of wrong
                 reforms, as we call them, in two major sectors:    decisions may plunge them into the red. Recently,
                 petroleum pricing and fertiliser subsidy. These were   the Railways announced a ‘surge pricing’ mecha-
                 swallowing up a big chunk of subsidy from the state   nism that primarily emerges out of helplessness to
                 exchequer. However, the Railways never forcefully   stem the rot and to subvert the tradition of not tink-
                 put forth a case for rationalisation of investments   ering with normal subsidised passenger fare.
                 and revenue based on fundamental economic prin-    About 12,000 passenger trains traverse the coun-
                 ciples. Some half-hearted efforts to increase fares at   try daily. Out of this, there are only 42 Rajdhanis,46
                 reasonably low incremental levels were thwarted   Shatabdis and 54 Durontos, which means they make
                 by Parliament. One of the reasons for Railways not    up merely 1.25 percent of the total trains plying cur-
                 being able to take up the case with vigour is perhaps   rently. While the fare on these train is already in the





                      No to Uber,                    Uber is an organised taxi service   them to meet additional demand.
                      yes to                       which has brought huge relief in the life   taxis improves, the algorithm automati-
                                                                                  Further, as soon as the availability of
                                                   of millions of travellers and also gener-
                      railways?                    ated huge employment opportunities for   cally cancels the surge pricing. so in a
                                                                                way, by opposing Uber’s surge pricing,
                                                   individuals, barring a few aberrations.
                      The Railways’ adoption of surge pricing   Further, with surge pricing, it was the   the government is blocking the drivers’
                      is in contrast to the Delhi government’s   individual who got the benefits. The   ability to earn more money. Moreover,
                      stand in the case of taxi aggregator Uber.   algorithm of Uber is so designed that the   often one finds educated youth driving
                      when Uber introduced surge pricing, the   moment the available number of taxis   the car. it is satisfying that this seg-
                      Delhi government had issued a diktat   falls below 20 percent of the demand   ment is not only bringing respect to the
                      asking Uber to stop. The government is   it notifies the drivers to rush to the   profession as in the western world but
                      at fault in both principle and approach in   locations where the demand from the   creating opportunities for hard-working
                      issuing such an order.       commuters is high. Thus it incentivises   entrepreneurs to earn decent money.


                                        Tehelka / 15 november 2018  22  www.Tehelka.com



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