Delhi finance secretary SN Sahai to head panel to fix Metro fares

NEW DELHI: Delhi government finally seems to be onboard with a Delhi Metro fare revision. It has agreed to have the Delhi finance secretary, SN Sahai, as part of the fare fixation committee for the Metro.
The fare fixation panel decides on the formula for fare revision. The Delhi Metro has been asking for a hike in fares for several years. Delhi government however, had not submitted the name of its nominee on the panel till now.

The Delhi Metro Rail Corporation (DMRC) can revise its fares only on the recommendation of a three-member committee constituted by the Union government from time to time. "Once the Centre approves, the committee will be notified with their terms of reference for fare fixation. It has to come out with the formula in three months from the date of notification," said a senior government official.

The committee comprises of the urban development secretary, Delhi's finance secretary and a person who is or has been a high court judge who also chairs the committees.

DMRC head Mangu Singh has consistently been talking about the need for a fare hike, citing the significant rise in the operational costs. "Fare hike is long overdue. Now the committee will be formed but when it will give its recommendations is not in my hand," Singh had said earlier. Fares were last revised in 2009 when the minimum fare was raised from Rs 6 to Rs 8 while the maximum fare was hiked to Rs 30 from Rs 22.

During DMRC's 12th anniversary celebrations, its operations director Sharat Sharma had stated that almost 40% of Delhi Metro's overall expenses go towards paying electricity bills with the power consumption rising to around 63 crore units amounting to almost Rs 450 crore in 2014-15.