More than two years after stopping it citing Covid-related restrictions, the government on Wednesday said restarting concessions to senior citizens on train tickets “is not desirable”.
Replying to a question in Lok Sabha, Railways Minister Ashwini Vaishnaw said in a written reply that the cost of granting concessions weighs heavily on the Railways. “…Hence, extending the scope of concessions to all categories of passengers including senior citizens is not desirable,” he said.
Ahead of the nationwide lockdown in 2020, the Railways had discontinued the up-to 50 per cent concession previously allowed to senior citizens. Officials had said it was meant to discourage non-essential travel by elders who were deemed more vulnerable to Covid. The Railways had also discontinued concessions to sportspersons, which the minister indicated was not going to be brought back.
“These (financial losses due to concessions) have long term impact on the financial health of the Railways,” Vaishnaw said, submitting data that the Railways suffered a loss of Rs 1,667 crore in 2019-20 on account of revenue foregone thanks to concessions to senior citizens.
Backing its decision, the government also said that in 2019-20, around 22 lakh senior citizens had chosen to opt out of concession travel.
The government also informed Lok Sabha that train fares of most of classes were “very low” and that the Railways bears 50 per cent of the cost of travel on an average for all passengers.
“Apart from this, different classes 1st AC, 2nd AC, 3rd AC, AC Chair Car, Sleeper Class, Second Class Reserved/Unreserved, etc are available on different fare structures for the use of passengers including senior citizens who can travel as per their preferences,” the written reply said.