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"In the Budget 2012 13, my predecessor had proposed to segregate fuel component in tariffs as FAC.
The rates exclude development charge and busy season charges which essentially means that actual hike would be higher, according to the Railway Budget for 2013 14 presented in Parliament by Railway Minister P K Bansal.
further. . .
Freight rates have been increased due to deregulation of diesel prices for bulk consumers.
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"In the light of deregulation of the HSD oil, Railways' finances need to be rationally insulated and to this end a mechanism to neutralise the impact of fuel prices on operating expenses is required to be put in place," Burberry Haymarket Tote Yellow
change in either direction with the change in fuel cost, say twice a year.
Freight rates of urea have been increased by 5.8 per cent, which could have an impact on the government's fertiliser subsidy bill.
Similarly, Railways increased freight rates of groundnut oil to Rs 1,848 per tonne from the present Rs 1,746.60 per Submariner Rolex Price tonne at an average lead of 1650 km.
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"As then suggested, I propose that this component be dynamic in nature and Burberry Iphone 6 Plus Case
"It is proposed to implement the FAC linked revision in only freight tariff from April 1, 2013," he added. Complete coverage: Union Budget 2013 14 Budget Impact Live!
Railways on Tuesday hiked the basic freight charges of grains, pulses and groundnut oil by nearly six per cent, a move that will lead to increase in prices of food items.
Rail freight for grains
Bansal also announced adoption of Fuel Adjustment Component which will be dynamic in nature and freight charges will be revised twice a year based on changes in input fuel cost.
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