PR earns Rs. 40.1b in first half of FY-2023-24: Senate informed

Author: APP

Pakistan Railways has substantially increased its revenue (251%) during the last decade through reforms and it is showing an increasing trend during the current fiscal year as Pakistan Railway has earned Rs. 40.1 billion in the first half of fiscal year 2023-24.

It was stated by Minister for Parliamentary Affairs and Law and Justice Azam Nazeer while replying to a question in the Senate on Wednesday which was about reformative measures being taken by the Government to curtail the loss of Pakistan Railways. The minister said that PR earned revenue of Rs. 63.250 billion in FY 2022-23, and received a Grant in Aid/subsidy of Rs. 47.5 billion from the Finance Division which comes to Rs.110.8 billion.

He said that Pakistan Railways has substantially increased its revenue (251%) during the last decade through reforms and improved management, yet it is not sufficient to meet Pakistan Railways requirements mainly due to exponential growth in pension.

The minister said that almost 67% of the total expenditure is spent on pay and pension benefits only. Pakistan Railway is currently the only exception which is maintaining pension on its books while the Finance Division provides financial assistance to Pakistan Railways in the shape of Grantin-Aid/subsidy for payment of pay and pension.

He stated that there has been exponential growth in pensions since 2016 in the wake of the new Pension Policy/PM Package for in-service death, issued by the Finance Division in 2015. The burden of pay and pension has significantly increased on the Pakistan Railway whereas Grant-in Aid/subsidy remained stagnant in comparison to rising expenditure of pay and pension.

He said this is the reason that there are pending liabilities of Rs. 27.5 billion on account of commutation, payment of Prime Minister’s Package, etc. Pakistan Railways has proposed transferring Pakistan Railways pension responsibilities and funding to the Finance Division, the minister said adding that it would reduce the grant to Pakistan Railways but provide sufficient funds for operational activities by removing the burden of pension liability and regular pension.

He mentioned the issues being faced by Pakistan Railways and said that massive floods in July and August 2022 forced to suspend the train operations for two months and affected badly the revenue of Pakistan Railway.

Resultantly Pakistan Railway is left with less funds for procurement of necessary activities like operating cost, repair and maintenance, purchase of high-speed diesel, and others. Despite facing all these hardships, the minister said that the revenue of Pakistan Railway is showing an increasing trend during the current FY year as Pakistan Railway has earned Rs. 40.1 billion in the first half of FY 2023-24. The minister rejected the loss of Rs. 55 billion to Pakistan Railways in the FY 2022-23 and said that the improved management system is helping to improve the revenue amount.

Train accidents

A decline has been witnessed in train accidents during past four years and all railway accidents were enquired to avoid recurrence at various competent tiers of management including the highest level of Federal Government Inspector of Railways. It was stated by Minister for Parliamentary Affairs and Law and Justice Azam Nazeer Tarar while responding to a question in Senate on Wednesday seeking details of train accidents.

The minister said that Pakistan Railways during the past five years has operated approximately 2,03,717 trains with average of about 40,750 trains/year and with an average of 107 accidents/year.

During the same period, 537 train accidents of different classification took place of which only 313 accidents were such that led to loss of life or serious injury. The minister said that Pakistan Railways has an elaborate system of accidents mitigation, relief mechanism and inquiries. He said that a total of 2019 accidents occurred in 2019 followed by 145 in 2022, 87 in 2021 and 62 in 2022 while surge was witnessed in 2023 and 84 accidents were reported in this year.

Factorial analysis suggests that 32% accidents are at unmanned level crossing for which the road users are mainly responsible.

During the five years of reporting a total number of 259 employees were held responsible in various degrees and were taken up and punished under Efficiency & Discipline Rules of government of Pakistan.

13 new routes

Thirteen new public transport routes have been identified in Islamabad and these routes will be made operational from June 2024, to onwards as per requirements of the people the city.

Responding to a question, the Minister for Law and Justice Azam Nazeer Tarar said that thirteen feeder routes have been identified and news stations are being established.

He said that procurement, operation and maintenance of buses have been awarded and the routes will be made operational in phase staring from June 2024, onwards.

He said that 30 buses would be operational in the beginning while remaining 130 buses to be acquired in various phases.

He said that buses would ply from B-17 to Chungi No. 26; Sector I-16 to Chungi No. 26; Taramri to Aabpara; Taramri to Khana Bridge; Piwadhai to IJP and to cover various sectors including G-5, G-6, G-7, G-8, G-9, F-8, F-10 and F-11.

Moreover, he said that a Mass-Transit System (with dedicated) from Rawat to Pak-Secretariat via Murree Road is also under consideration at the Planning level for the Capital City.

Apart from the Metro Bus Service from Saddar to Pak- Secretariat (i.e. Red Line), the government has already initiated three public transport routes in ICT through Orange Line, Blue Line and Green Line bus services which are in operations since 2022.

The minister said that thousands of people are getting benefit from this service.

He said that Islamabad Transport Authority (ITA) is making all out efforts to ensure safe and decent private sector run transport within the parameters of Motor Vehicle ordinance 1965.

Ministers Salaries

Minister for Law and Justice Azam Nazeer Tarar stated on Wednesday that no member of the incumbent Federal Cabinet is drawing a salary, as they have all voluntarily decided not to withdraw it.

Speaking in the Senate, the minister explained that ministers pay Rs. 143,000 in rent for their single official accommodation and cover the utility bills for their residences themselves. According to the rules, ministers are not entitled to have their utility bills, including gas and electricity, paid by the government, and these bills are covered by them personally.

He mentioned that ministers are allotted 300 or 350 liters of petrol for an 1800 cc vehicle, along with one driver and one security guard. If a minister exceeds this allocation, they cover the additional costs from their own resources.

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