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Utilisation of Saloon Car for tourism purpose on Indian Railways

Commercial Circular No. 28 of 2020 · 2020-09-11
Circulartrain-services

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Circular numberCommercial Circular No. 28 of 2020
File numberNo.2017/Tourism/140/05/P.
Date2020-09-11
TypeCommercial Circular
Topictrain-services
Official PDFindianrailways.gov.in

Summary

Utilisation of Saloon Car for tourism purpose on Indian Railways 14.1 Stabling Charges shall be levied @ Rs 1000/- per saloon per day for stabling of saloon in

Text of the circular

GOVERNMENT OF INDIA 
MINISTRY OF RAILWAYS 
RAILWAY BOARD 
New Delhi, Dated :/4/12/2020 
No.2017/Tourism/140/05/P. 
Principal Chief Commercial Managers, 
All Zonal Railways. 
CMD, IRCTC, 
Statesman House Building, 
Barakhambha Road, 
New Delhi. 
(Commercial Circular No,.28 of 2020) 
Sub:- Utilisation of Saloon Car for tourism purpose on Indian Railways. 
Ref:-IRCTC's letter No. 2017/IRCTC/Tourism/Saloon Car dated 11.9.2020 & 29.10.2020. 
The proposal for utilisation of saloon cars for tourism purpose has been examined in 
consultation with Mechanical Coaching, Signal & Telecom, Coaching, Safety and Finance 
Commercial Directorates of Railway Board and the following guidelines w.r.t. charging of the 
saloon cars are issued- 
1. Fixed Charges 
1.1 
Lease Charges :- 
1.1.I Lease Charges for custody of saloons by IRCTC shall be fixed @7% of depreciated 
capital cost (present capital cost) of the saloon on a per annum basis per saloon. 
1.1.2 Lease charges will be levied w.e.f. the date of handing over of the Saloon. 
1.1.3 Calculation of Lease charges to be done by ZR every year keeping the date of production 
of saloon and depreciated value in mind. An illustrative example of estimation of lease charges 
for a saloon per year may be seen in the Annexure. 
1.2 
Minimum Guarantee Charges 
1.2.1 IRCTC shall pay to Railways the Minimum Guaranteed Charges @ Rs.10,18,817 per 
saloon per annum. 
1.2.3 The Minimum Guaranteed Charges shall accrue after 90 Days from the date of handing 
over the Saloon however shall be paid by IRCTC to Railways within 90 days of handing over of 
the saloon. Initial 90 days period is considered as handholding time for IRCTC to make the 
saloons ready for operation. For successive years, this Minimum Guarantee amount shall be paid 
15 days in advance of the start of the year. 
1.3 
Variable Charges: 
1.3.1 Only that portion of the concessional FTR charges per annum per saloon, aceruing over and 
above the Minimum Guarantee, shall be paid to Railways as Variable Charges. 
DT4) 
a 
D(T7) 
.

For 
calculation of concessional FTR charges, following conecssions on FTR charges shall 
be given: 
a) Actual capacity per saloon to be 12 pax, however, charging shall continue to be done for 
18 pax (AC-) per saloon. 
b)For the purpose of calculation of detention charges, 36 hrs. free time will be gIven. 
Bcyond this time detention charges shall be levied as per extant rules of FTR. 
c) No emnpty haulage charges will be levied up to a distance of 50 Kms. Beyond s0 kms, 
empty haulage charges will be levied as per extant FTR rules. 
3.3 In such cases where concessional FTR charge is cqual to or less than the Minimum 
Guarantee Charges, no variable charges will accrue. 
.3.4 Variable charge shall be reconciled and paid to Railhways on a monthly basis, if accrucd. 
1.4 
Stabling Charges 
14.1 Stabling Charges shall be levied @ Rs 1000/- per saloon per day for stabling of saloon in 
Railway siding after completion of itinerary. The Stabling Charges will be inclusive of electricity 
and watcring costs. 
1.5 
GST: All the above charges are exclusive of GST Applicable GST eharges shall be 
bome by 1RCTC. 
2. Period of Lease -
Only saloos which are older than 15 ycars arc to be leased to IRCTC under this policy 
initially for a period of 5 years Rencwal of lcase shall not he automatic, however may be 
considered subject to review and mutual agrecment of IR and IRCTC and approval olT 
Railway Board. 
3. General Instructions 
3.1 IR shall operale saloons lor commerc ial use through IRCTC only, and IRCTC would be 
3.2 IRCTC will be free to decide the tarifl structure for the saloons for charging the tourists. 
permitted to operate the saloons under the business model developed by them. 
3.3 Saloon cars shall not be utilised for any purpose other than the purpose they are lensed for i.c. 
3.4 The comcessions under FTR model will be applicable to only those saloons which are taken 
3.5 Proper joinly signcd documentation of handing ove

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