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Amendment in LSFTO policy — Procurement of tank wagons by Oil Marketing Companies under LSFTO scheme

No. 2024/TC(FM)/04/10(E-3466712) · 2020-03-16
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Circular numberNo. 2024/TC(FM)/04/10(E-3466712)
Date2020-03-16
TypeRates Master Circular
Topicfreight
DirectorateTraffic Commercial (Freight Marketing)
CurrencyCurrency not verified
Official PDFindianrailways.gov.in

Summary

Amendment in LSFTO policy — Procurement of tank wagons by Oil Marketing Companies under LSFTO scheme loaded distance, empty freight rate shall be charged

Text of the circular

FREIGHT MARKETING CIRCULAR NO. |SOF 2026
Amen oment Wo. 6
MEN OMENT WO. ०

भारत सरकार GOVERNMENT OF INDIA
रेल मंत्रालय MINISTRY OF RAILWAYS
( रेलवे बोर्ड RAILWAY BOARD )

No. 2024/TC(FM)/04/10(E-3466712) Date: |U. F-21026

The General Managers
All Indian Railways

Sub: Amendment in LSFTO policy — Procurement of tank wagons by Oil
Marketing Companies under LSFTO scheme

Ref: FM Master Circular No 2020/TCFM/04/02 dt 16.3.2020 and its amendments

In order to facilitate procurement of tank wagons by Oil Marketing Companies, to
enable quick and efficient movement of POL products across the length and breadth of the
country as per demand, it has been decided to amend certain provisions of the LSFTO Policy.
Accordingly, the following amendments are notified:-

extant provision in LSFTO Amended provision

5(e): Petrochemicals that includes
Light Diesel Oil (LDO), Carbon Black
feed Stock (CBFS), Low Sulphur
Heavy Stock (LSHS), Heavy
Petroleum Stock (HPS), Vacuum Gas
Oil (VGO), Low Viscous Furnace Oil
(LVFO), Low Sulphur Furnace Oil
(LSFO), Residue Crude Oil (RCO),
Liquefied Petroleum Gas (LPG), and
Petroleum products like Naphtha,
Aviation Turbine Fuel, High Speed
Diesel, Kerosene Oil, Petrol, Furnace
Oil.

ara 5(e): Petrochemicals that includes Ligh
Diesel Oil (LDO), Carbon Black feed Stock (CBFS),
Low Sulphur Heavy Stock (LSHS) , Heav
Petroleum Stock (HPS), Vacuum Gas Oil (VGO),
Low Viscous Furnace Oil (LVFO), Low Sulph

urnace Oil (LSFO), Residue Crude Oil (RCO) an
Liquefied Petroleum Gas (LPG) (excluding

etroleum products like Naphtha, Aviation Turbine
uel, High Speed Diesel, Kerosene Oil, Petrol,
Furnace Oil)

Following is inserted below para 7.3 —

ara 7.3: On receipt of the application, MOR shal
study the proposal in detail (in consultation with} |'In case of application for rakes o
raffic Transportation Directorate of MOR) & NOC) _ {tank wagons placed jointly by two 0
from concerned zonal railway and grant necessary) {more Oil Marketing Companies,
pproval for procurement and operation of the there will be no requirement of NOC
rake(s) as per the provisions of the policy subject to| [from the Zonal Railways. The
he condition that grant of such permission is not} |movement of such rakes shall b
inimical to public interest and national security. controlled by Traffic Transportation
directorate of MoR " /

FREIGHT MARKETING CIRCULAR NO.|S OF 2026

10.2 In case the operator wants any addition o
deletion in the loading/unloading terminals o
. circuits, the same may be permitted on the basis 0
application submitted to MOR for such change
modification. Approval will granted based o
operational feasibility given by the zonal railway.

Charging for Empty run: para 11.5 (revised vide
FMC 26/2024 and FMC 2/2025 )

The party registered under the scheme shall have the
option to get the excess empty run of each of its
rake calculated on monthly basis or on trip to trip
basis. Case-I (Monthly Basis) - No freight will be
charged for the empty movement if the total loaded
run of a rake during a calendar month is more than
or equal to the total empty run of the rake during the
same period. However, if the distance travelled by
the empty rake during a calendar month is more
than the loaded distance, then for additional distance
traveled by the empty rake over and above the
loaded distance, empty freight rate shall be charged
at 50% of loaded freight of highest class o
commodity transported during the month on public
tariff on carrying capacity of the wagons.

For the purpose, total empty/loaded movement will
be calculated on the basis of RRs generated during
the said calendar month.

Case-II (trip to trip basis) - No freight will be
charged for movement of empty rake to the next
destination provided the distance traveled by empty
rake is less or equal to the distance traveled by the
train before unloading. However, if the distance
traveled by the empty rake is more than the loaded
distance, then for additional distance traveled by the
empty rake 

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