At present, Under Indian Railways, 13 thousand trains are running in the country, and to bring equality between demand and supply, 7 thousand trains will be run. Presently the regulation and management of these trains is done by the Indian Railways but now the management work will go into the hands of private players.
Taking steps in this direction, the Government of India, taking steps towards the privatization of the Indian Railways, has invited private parties to run 151 passenger trains on 109 routes. The trains running on these routes will have a minimum of 16 coaches and their maximum speed will be 160 km / h.
Indian Railways has said that it will give these projects to private companies for 35 years. However, the drivers and guards in all these trains will be from the Indian Railways. Private players will pay the Indian Railways a share in the gross revenue determined through the Transparent Revenue Process, the prescribed transportation charges, energy charges as per actual consumption.
Advantages and disadvantages of railway privatization:
1. The government argues that all trains built under private participation will be built under the 'Make in India' project, which will create employment, which is a very small argument because the trains are 'Make in India' project without giving it to the private sector. Can be made under
2. Maintenance of trains will be done by the private sector so that there will be cleanliness in them.
3. Trains will arrive on time by going to the private sector. This argument is also not very strong because the government can remove the shortcomings due to which trains are late. What will the private players do so that the trains will not be late? If the private players can stop the trains from getting late, then why not the government?
4. Passengers will be able to get better security because private players will spend more money and bring new technology. This argument has some power because the government's fiscal deficit is increasing and the government has no more money.
5. It will help to bridge the gap between demand and supply between tickets. Because the number of trains will increase.