Lahore : Pakistan Railways has decided to hand over the commercial management of 11 passenger trains to the private sector, ARY News reported, citing sources.
"The decision has been taken in the interest of improved travel facilities and increased revenue generation," railway sources said.
According to sources as reported by the ARY News. Hazara Express, Bahauddin Zakaria Express, Millat Express, Subak Kharam Express, Rawal Express, Badar Express, Ghori Express, Ravi Express, Thall Express, Faiz Ahmed Faiz and Moenjo Daro Passenger trains will be given to the private sector under the decision.
Further, the railway sources said that authorities have invited bids from private firms, which must be submitted by August 12. The bids will be opened on the same day. "Intending firms have been asked to submit their bids by August 12," according to sources. The bids will be opened on the same date, according to railway sources.
In February this year, Pakistan Railways decided to outsource seven passenger trains to the private sector. The railways decided to hand over seven trains, Hazara Express, Karachi Express, Farid Express, Bahauddin Zakaria Express, Sukkur Express, Rawalpindi Express and Mohenjo Daro Express to the private sector, ARY News reported.
The railway authorities had clarified that these trains will not be privatised but outsourced to the private sector. Earlier this month, Pakistan Railways announced a fare hike for passenger, express, and mail trains, marking the second increase within 15 days, ARY News reported. The decision comes after the rise in prices of petroleum products, including diesel.
In a notification, Pakistan Railways stated that a 2 per cent fare increase will take effect from July 4 for express and passenger trains. The 2% fare increase will also apply to advance bookings, as per the notification.
According to an official, the Pakistan railways has been facing a monthly loss of approximately Pakistani Rupees (PKR) 109 million due to the increasing price of diesel. The railway department has issued instructions to the Director of IT and the DS to ensure compliance with the increased fares.
Notably, passenger train fares were increased by three per cent while freight train fares witnessed a rise of four per cent on June 18. The Pakistan government has hiked prices of petroleum products for the ongoing fortnight ending on July 15, raising the price of petrol by PKR 8.36 per litre.