As the Delhi Metro Rail Corporation (DMRC) is hoping against hope for a fare revision given the spiralling input costs, the Ministry of Urban Development (MoUD), too, seems to be looking up to the Appointments Committee of Cabinet (ACC) for the same.
Having rejected four consecutive proposals of the MoUD for appointing the Chairman of the Fare Fixation Committee (FFC) in the past, the ACC, headed by Prime Minister Narendra Modi, is yet to approve the panel. Sources said to avoid another such rejection, the MoUD has sent the maximum number of names for the ACC to select from.
“Previously, a maximum of three names were sent to the ACC for selecting the Chairman. But this time, as many as five names have been sent,” said an official. The FFC, which decides fares for the Delhi Metro is a three-member body, chaired by an existing and/or a retired judge of the High Court. The committee also comprises representatives from the Central and State governments.
It is only after the ACC notifies the fare fixation committee can the actual process of tariff revision begin. The last time metro fares were revised was in 2009 and since then the DMRC has been sending letters to the MoUD reminding about the increasing operations and maintenance costs.
Early this year, the ACC had rejected the name of former Justice AK Srivastava for heading the fare fixation committee. The ACC had then done so without citing any reason for the rejection.
Instead of the existing 15 fare slabs ranging from Rs.8 to Rs.30, the corporation has proposed five, ranging from Rs.10 to Rs.50, which if implemented, would bring it 38% more revenue. “40 per cent of our total expenditure goes in electricity. Power tariffs have increased by more than 94 per cent since fare was last fixed,” said a DMRC official..
Having rejected four proposals for appointing the Chairman of the Fare Fixation Committee, the ACC is yet to approve the panel
