Railway Budget's Reduced Significance
Since merging with the general Budget in 2017, the Railway Budget has lost its prominence, with no mention in recent Union Budgets(2024, 2025)
Despite huge investments, the financial returns of Indian Railways (IR) have been underwhelming.
Infrastructure Developments and Challenges
Major investments have been made in infrastructure like electrification (95%) and track expansion, but freight traffic growth is slow and passenger numbers still below pre-COVID levels.
The Railway Minister highlighted improvements in rail network expansion, safety, and modern stations, but execution remains inconsistent.
Unrealized Ambitions and Lack of Action
Promises like 100% electrification and new Vande Bharat trains lack clear timelines and specifics.
Major projects, such as the Western Dedicated Freight Corridor, remain pending, and the high-speed rail vision for 2047 seems distant.
Freight and Passenger Concerns
The Railway’s goal to become the world’s second-largest freight carrier is unrealistic without addressing issues like declining freight share and slow train speeds.
Despite heavy investments, the IR struggles to transform effectively, leaving its future uncertain.
Execution and Maintenance Issues
With a heavy reliance on the Engineering, Procurement, and Construction (EPC) mode for station redevelopments, questions remain about the long-term sustainability of these projects.
The increasing gap between Railway expenses and earnings raises concerns about the IR’s financial sustainability and its ability to maintain the infrastructure built with massive investments.
The delay in executing high-profile projects like the New Delhi station redevelopment underscores broader issues of inefficiency and poor execution within the Railway Ministry.
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