Karnataka's luxury express Golden Chariot, a favourite among tourists, has proved to be a bone of contention between the state tourism department and the Railways. The Tourism department is now thinking of cutting down the number of trips.
The last meeting between the Tourism department and the Railways to sort out the issue was not fruitful. The department wants a reduction and sharing of the haulage charges, but the Railways is not ready to oblige.
Sources in the department told DH that they pay Rs 50 lakh as haulage charges for every trip, including variable and fixed charges.
"During the last meeting in September, we requested the Railways to go for a revenue-sharing model as they are also partners and 20% stakeholders. But they refuse to change the haulage policy. Since the cost is very high, we are thinking of reducing the number of trips," Tourism department sources said.
An official from the Railways said that haulage charges were being collected for other luxury express trains like Deccan Odyssey and Royal Rajasthan too. Only the Palace on Wheels in run on revenue-sharing basis, since that is the oldest luxury train service. The Maharaja Express is run by the Indian Railway Catering and Tourism Corporation. "These trains make profit and it is the policy of the Railways to collect haulage charges from luxury expresses run on rails laid by us," the Railways official said.
But the Tourism department sources pointed out that in 2002, when the agreement with the Railways was drafted, it clearly mentioned that the train will run on cost-sharing basis. Only after this, the modalities were chalked out. But just 15 days before the launch, in 2007-08, the Railways changed the contract condition and demanded haulage charges, but remained a partner.
In 2014, fixed haulage charges were introduced. Many a time, the train runs with just 30% occupancy, the sources said. During the last Railway budget, it was announced that the Railways would negotiate with states so that more luxury trains are introduced, but this is yet to be implemented. Officials of the state tourism department had met nine railway ministers, requesting them to reduce the haulage charges, but in vain.
![]( "The interiors of the Golden Chariot luxury train. DH FILE PHOTO")
Karnataka’s luxury express Golden Chariot, a favourite among tourists, has proved to be a bone of contention between the state tourism department and the Railways. The Tourism department is now thinking of cutting down the number of trips.
The last meeting between the Tourism department and the Railways to sort out the issue was not fruitful. The department wants a reduction and sharing of the haulage charges, but the Railways is not ready to oblige.
Sources in the department told DH that they pay Rs 50 lakh as haulage charges for every trip, including variable and fixed charges.
"During the last meeting in September, we requested the Railways to go for a revenue-sharing model as they are also partners and 20% stakeholders. But they refuse to change the haulage policy. Since the cost is very high, we are thinking of reducing the number of trips,” Tourism department sources said.
An official from the Railways said that haulage charges were being collected for other luxury express trains like Deccan Odyssey and Royal Rajasthan too. Only the Palace on Wheels in run on revenue-sharing basis, since that is the oldest luxury train service. The Maharaja Express is run by the Indian Railway Catering and Tourism Corporation. "These trains make profit and it is the policy of the Railways to collect haulage charges from luxury expresses run on rails laid by us,” the Railways official said.
But the Tourism department sources pointed out that in 2002, when the agreement with the Railways was drafted, it clearly mentioned that the train will run on cost-sharing basis. Only after this, the modalities were chalked out. But just 15 days before the launch, in 2007-08, the Railways changed the contract condition and demanded haulage charges, but remained a partner.
In 2014, fixed haulage charges were introduced. Many a time, the train runs with just 30% occupancy, the sources said. During the last Railway budget, it was announced that the Railways would negotiate with states so that more luxury trains are introduced, but this is yet to be implemented. Officials of the state tourism department had met nine railway ministers, requesting them to reduce the haulage charges, but in vain.
The last meeting between the Tourism department and the Railways to sort out the issue was not fruitful. The department wants a reduction and sharing of the haulage charges, but the Railways is not ready to oblige.
Sources in the department told DH that they pay Rs 50 lakh as haulage charges for every trip, including variable and fixed charges.
"During the last meeting in September, we requested the Railways to go for a revenue-sharing model as they are also partners and 20% stakeholders. But they refuse to change the haulage policy. Since the cost is very high, we are thinking of reducing the number of trips," Tourism department sources said.
An official from the Railways said that haulage charges were being collected for other luxury express trains like Deccan Odyssey and Royal Rajasthan too. Only the Palace on Wheels in run on revenue-sharing basis, since that is the oldest luxury train service. The Maharaja Express is run by the Indian Railway Catering and Tourism Corporation. "These trains make profit and it is the policy of the Railways to collect haulage charges from luxury expresses run on rails laid by us," the Railways official said.
But the Tourism department sources pointed out that in 2002, when the agreement with the Railways was drafted, it clearly mentioned that the train will run on cost-sharing basis. Only after this, the modalities were chalked out. But just 15 days before the launch, in 2007-08, the Railways changed the contract condition and demanded haulage charges, but remained a partner.
In 2014, fixed haulage charges were introduced. Many a time, the train runs with just 30% occupancy, the sources said. During the last Railway budget, it was announced that the Railways would negotiate with states so that more luxury trains are introduced, but this is yet to be implemented. Officials of the state tourism department had met nine railway ministers, requesting them to reduce the haulage charges, but in vain.
Karnataka’s luxury express Golden Chariot, a favourite among tourists, has proved to be a bone of contention between the state tourism department and the Railways. The Tourism department is now thinking of cutting down the number of trips.The last meeting between the Tourism department and the Railways to sort out the issue was not fruitful. The department wants a reduction and sharing of the haulage charges, but the Railways is not ready to oblige.
Sources in the department told DH that they pay Rs 50 lakh as haulage charges for every trip, including variable and fixed charges.
"During the last meeting in September, we requested the Railways to go for a revenue-sharing model as they are also partners and 20% stakeholders. But they refuse to change the haulage policy. Since the cost is very high, we are thinking of reducing the number of trips,” Tourism department sources said.
An official from the Railways said that haulage charges were being collected for other luxury express trains like Deccan Odyssey and Royal Rajasthan too. Only the Palace on Wheels in run on revenue-sharing basis, since that is the oldest luxury train service. The Maharaja Express is run by the Indian Railway Catering and Tourism Corporation. "These trains make profit and it is the policy of the Railways to collect haulage charges from luxury expresses run on rails laid by us,” the Railways official said.
But the Tourism department sources pointed out that in 2002, when the agreement with the Railways was drafted, it clearly mentioned that the train will run on cost-sharing basis. Only after this, the modalities were chalked out. But just 15 days before the launch, in 2007-08, the Railways changed the contract condition and demanded haulage charges, but remained a partner.
In 2014, fixed haulage charges were introduced. Many a time, the train runs with just 30% occupancy, the sources said. During the last Railway budget, it was announced that the Railways would negotiate with states so that more luxury trains are introduced, but this is yet to be implemented. Officials of the state tourism department had met nine railway ministers, requesting them to reduce the haulage charges, but in vain.