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        Case ID :

        Union Budget: Railways gets Rs 2.52 lakh crore allocation, targets revenues of Rs 3.02 lakh crore

        February 1, 2025

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        New Delhi, Feb 1 (PTI) The government has approved a budget allocation of Rs 2.52 lakh-crore for the Railways for 2025-26 financial year, almost the same amount that was allocated in 2024-25.

        According to the Union Budget presented by Finance Minister Nirmala Sitharaman on Saturday, the Railways has targeted higher revenues from passengers, goods and others heads.

        "The total outlay provided for Capital Expenditure in Budget Estimate 2025-26 of Rs 2,65,200 crore includes Rs 2,52,000 crore from General Revenues, Rs 200 crore from Nirbhaya Fund, Rs 3,000 crore from Internal Resource and Rs 10,000 crore from Extra Budgetary Resources," according to the budget proposals.

        "Total Receipt of Railways comprising revenues from passenger, goods, other coaching, sundry other heads and Railway Recruitment Boards etc. have been placed at Rs 3,02,100 crore in BE (Budget Estimates) 2025-26 as against RE (Revised Estimates) 2024-25 of Rs 2,79,000 crore," it said.

        The budget document showed an increased earning from both passenger as well as freight services in 2024-25. For instance, the revised estimate for 2024-25 for passenger railway receipt showed Rs 80,000 crore as compared to the actual revenues of Rs 70,693 crore in 2023-24.

        The freight earning in the revised estimate of 2024-25 stood at Rs 1,80,000 crores compared to the actual revenues of Rs 1,68,199 crore in 2023-24.

        "Passenger revenue target has been kept at Rs 80,000 crore with a growth of 13.2%. Goods revenue target is maintained at 1,80,000 cr. which is 7% higher over 2023-24," a railway press note said.

        However, a section of experts is of the view that the increase in goods revenue is not on expected lines as a huge capital expenditure has been made in the past few years.

        "Total expenditure on Safety related activities in RE 24-25 is Rs 1,14,062 crore and in BE 25-26 Rs 1,16,514 crore. The Indian Railways is making significant progress in network expansion by adding nearly 4,000 km annually. The Indian Railways has laid 31,180 km of new track during the last 10 years," the note said.

        Though the Railways claimed the Budger proposals make a big push on safety of rail operations, experts have a contrary view.

        Shailendra Kumar Goel, a former DG of Indian Railways Institute of Signal Engineering & Telecommunications, said, "Gross Budget Outlay for Signalling and Telecom works for FY 2025–26 stands at Rs 6,800 crore. Considering IR's rollout plan to provide 'Kavach' on 44,000 RKM (route KM) over the next five years, the funds are grossly insufficient to meet this target." "Critical Passenger Safety works need to be assigned highest priority in order to restore trust and credibility after a series of recent train disasters," he added.

        Various railway unions and federations have also raised safety concerns, claiming the issues related to the safety of rail operators have been overlooked.

        National Federation of Indian Railwaymen (NFIR) General Secretary M Raghavaiah said, "The government has failed to address Safety in Railways as no action has been taken to lift the blanket ban imposed on creation of posts in the Indian Railways." The continued ban imposed by the Finance Ministry has adversely affected the safety category posts as the Railway Ministry is not able to create posts even for maintenance and operation of new assets, he said. PTI JP JP TIR TIR

        Railway budget allocation signals revenue targets and safety funding, while experts warn signalling funds and hiring ban threaten safety. Union Budget sets increased passenger, goods and other revenue targets and provides consolidated capital expenditure funding for the railways, while reporting enhanced network expansion and specific safety expenditure allocations. Experts and unions contest the sufficiency of funds for signalling and train protection rollout and warn that a continuing hiring freeze impedes creation of maintenance and safety posts, posing operational safety risks.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Railway budget allocation signals revenue targets and safety funding, while experts warn signalling funds and hiring ban threaten safety.

                                Union Budget sets increased passenger, goods and other revenue targets and provides consolidated capital expenditure funding for the railways, while reporting enhanced network expansion and specific safety expenditure allocations. Experts and unions contest the sufficiency of funds for signalling and train protection rollout and warn that a continuing hiring freeze impedes creation of maintenance and safety posts, posing operational safety risks.





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