Transport Minister justifies train ticket price adjustments from today

• Minister Bandula Gunawardena highlights Department of Railways incurs a loss of Rs. 7 b annually
• Says directions given to maximise utilisation of assets to boost the revenue of Dept.

Transport Minister Bandula Gunawardena yesterday justified the price adjustment for reserved train tickets, citing it was necessary to keep the institution afloat.

“We have only increased fares for reserved seats by 30% from 1 June but going forward the commuters can expect certain amendments due to the fuel price hike. The Department of Railways incurs a loss of Rs. 7 billion per annum,” the Minister said in response to a query posed at the post-Cabinet meeting media briefing yesterday.

Minister Gunawardena said necessary guidelines have been issued to authorities to reduce expenses of the Railway Department.

“I have instructed to inform on the under-utilised assets such as lands and warehouses that come under the purview of the Department of Railways. We will evaluate and make maximum use of these to boost revenue options of the Department,” he added. 

He said it was important to maintain these assets at least up to a break-even point, noting that Rs. 7 billion annual loss was not bearable going forward.