Friday, February 24 2006 12:51 Hrs (IST) - World Time -

New Delhi: A fully air-conditioned 'Garib Rath' (poor's chariot), to be run on a pilot project basis initially with four pairs of services and fares about 25 per cent lower than the present AC-III tier, was proposed in the Railway Budget today(Feb 24,2006).

Railway Minister Lalu Prasad, presenting the Rail Budget, has effected no increase in passenger fares and rationalised passenger tariff structure so that the fares of AC-I and AC-II class would be 11.5 times and 6.5 times of the II class respectively.

The reduction in AC-I class fares by 18 per cent and AC/II by 10 per cent in the backdrop of growing competition from low cost airlines was proposed.

The renewal period of monthly season tickets increased from three to 10 days and the superfast charges applicable on such monthly season tickets and quarterly season tickets reduced to 1/4th of the current levels.

The tariff fixation mechanism for military traffic has been proposed to be rationalised and simplified.