With reference to New business model for the Railways consider following statements It is a new...........

Economic Affairs Infrastructure

With reference to New business model for the Railways, consider following statements

It is a new model being actively pushed by Indian Railways-to meet the huge demand for more trains without spending on investments, the idea is to get private sector to share some of that burden.
Under this Haulage charge is charge by Railways money to private players, on a per-km basis, for using its infrastructure in operating the trains – track, signaling, associated manpower.

Select the correct statement.

1 only

2 only

Both

None

To make the business of running trains more viable for private operators in the future, the government has decided to delink the cost of energy consumed by the private trains from the overall haulage charges payable to Railways.
Haulage charge is the money private players will have to pay to Railways, on a per-km basis, for using its infrastructure in operating the trains – track, signaling, associated manpower and the like.
This makes the business model even more lucrative for private players due to enter the new business traditionally held by Railways as a monopoly.
This is because in the new business model being developed, private players will be bidding based on how much of their gross revenue they are willing to share with Railways – over and above the haulage charge payable to operate the trains.

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