Last Updated: 5/21/2025 11:39:00 PM
The railways have decided to levy a 15% busy season charge on all commodities from October 1. According to a railways notification, the busy season charge of 15% on all commodities will remain in force from October 1 to June, 2014. The container and automobile traffic are exempted from busy season traffic. The move has come at a time when the inflation rate has increased from 5.79% in July to 6.1% in August. The decision comes ahead of the review of fuel adjustment component, applicable after every six months to adjust fuel prices, also due on October 1. However, a senior railway ministry official said that "No decision has been taken on FAC issue yet. But busy season charge is effective from next month as per the dynamic pricing policy." Besides freight rate, FAC also covers passenger fare. But it seems unlikely that the cash-strapped railways will opt for raising passenger fares further given the political situation with the general elections round the corner. With rising diesel price impacting railways' fuel bill, the national transporter is left with no option than levying busy season charge on freight. Source - Business Standard
