Indian Railways has long been a crucial part of India’s economy, connecting people and facilitating the movement of goods across the nation. The Tejas Express, a high-speed train running on the Lucknow-Delhi route, has made a significant profit of Rs 70 lakh as of October this year. It has earned nearly Rs 3.70 crore in ticket revenue, marking a positive beginning for India’s first “privately” operated train under the Indian Railway Catering and Tourism Corporation (IRCTC).
Tejas Express: A Step Towards Modernization
The Tejas Express is part of Indian Railways’ broader effort to modernize its services. It is also a key initiative in the development of 50 world-class railway stations and the introduction of private passenger trains, with 150 trains set to be operated by private entities. The train has been operating with an average occupancy rate of 80-85% since its launch on October 5.
Financials and Profitability
From October 5 to October 28 (21 days of operation, as the train runs six days a week), IRCTC spent around Rs 3 crore to operate the Tejas Express. The train incurred an average daily expense of Rs 14 lakh, while generating about Rs 17.50 lakh daily from passenger fares, indicating a steady profit.
Passenger Benefits and Services
The Tejas Express, managed by IRCTC, offers several passenger-friendly features, including combo meals, free insurance coverage of up to Rs 25 lakh, and compensation in the event of delays. This model represents a shift towards more private sector involvement in the railways, with IRCTC handling both the operations and passenger services.
Future Plans and Government Support
The Indian government is actively working to expand the role of private players in the railway sector. A special task force has been set up to speed up the rollout of private train operations and station redevelopment projects, although the first meeting of the group is yet to be held. This initiative aims to further modernize India’s railway infrastructure and improve the quality of services.
The success of the Tejas Express is a step in this direction, demonstrating the potential for private operators to manage and profit from railway services while offering enhanced benefits to passengers.
