Railways Announces Fare Increase From December 26, Rs 600 Cr Revenue Expected

Indian Railways Announces Fare Increase From December 26, Rs 600 Cr Revenue Expected: The Indian Railways has unveiled a new ticket fare structure, effective from December 26, 2025, aiming to generate an estimated Rs 600 crore in additional revenue. While the fare revision affects long-distance travellers, suburban and monthly season tickets remain untouched to maintain affordability for low and middle-income families. The move reflects the Railways’ continued efforts to balance passenger convenience with operational growth and infrastructure development.

Key Changes In Ticket Pricing

Under the updated pricing, Ordinary Class passengers travelling beyond 215 km will see a minor increase of 1 paisa per km. Mail and Express trains, both AC and Non-AC classes, will have a 2 paise per km increment for long-distance journeys. For example, a 500 km Non-AC journey will cost Rs 10 extra. Shorter routes under 215 km will not experience any price changes, ensuring travel remains budget-friendly for regional commuters.

Suburban trains and monthly season tickets remain unaffected by this revision, safeguarding affordability for daily commuters and middle-income families. These changes aim to balance operational revenue needs with passenger accessibility.

Infrastructure And Development Highlights

The Indian Railways has made significant progress in infrastructure over the past decade. The flagship high-speed bullet train project in Maharashtra has accelerated, with all necessary land acquisition completed. Between 2014 and 2025, around 2 lakh wagons were procured, and more than 10,000 locomotives were added to improve freight loading and mobility.

The government’s ‘Gati Shakti Multi-Modal Cargo Terminal (GCT)’ policy has resulted in the commissioning of 118 new terminals, capable of handling 192 million tonnes per annum (MTPA). This expansion is part of a broader strategy to enhance freight efficiency and multimodal connectivity across the nation.

Electrification And Modernisation

Indian Railways has also focused on sustainable operations. Approximately 99.1% of the Broad Gauge network is now electrified, reducing reliance on diesel and promoting energy-efficient transportation. This aligns with the government’s long-term vision for greener and more modern railway operations.

Looking Ahead

With the new fare structure, continued infrastructure upgrades, and electrification, Indian Railways is positioning itself for enhanced efficiency, higher revenue, and improved passenger experience. While passengers on long-distance journeys may experience modest increases, the Railways ensures affordability remains intact for suburban and monthly ticket holders.