Railways hikes fares across the board from midnight January 21
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Today's decision also covered services like Rajdhani, Shatabdi and Duronto type trains. However, it exempted platform tickets from any hike.
Bansal also proposed to do away with the practice of levying development charge on passenger tickets and all the chargeable fares will in future be in multiples of five.
As a result of the proposed hike, ordinary Second Class suburban fares for a distance of 35 km will go up by Rs 2 from Rs 8 to Rs 10, while in the non-suburban trains it will go up by Rs 5 for an average distance of 135 km.
In Sleeper Class, the increase would mean a hike of Rs 50 for a distance of 770 km from Rs 270 to Rs 320. In the case of AC Chair Car, for a distance of 387 km, the increase would be Rs 40 from Rs 345 to Rs 385.
In the case of AC Three Tier, for a distance of 717 km, the fare will go up from Rs 724 to Rs 800, an increase of Rs 76.
Similarly, in the case of AC Two Tier, the increase would mean a hike of Rs 48 for a distance of 721 km, while for AC First Class it will be Rs 56 for a distance of 547 km.
Replying to questions, Bansal said the Railway Budget next month will not propose any fresh hike in passenger fares.
But when asked whether there would be hike in the freight tariff, he was non committal. "I am not saying anything either way. We are not saying anything now."
Giving reasons for the decision which he described as reasonable, the minister said the losses in passenger segment, which was Rs 1,059 crore in 2004-05, rose to Rs 19,964 crore in 2010-11, an increase of 18 per cent a year. This is likely to go up to Rs 25,000 crore in the current fiscal.