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Commercialpedia Indian Railways commercial circulars and policies

Fixation and review of Siding Charge

No. TC-I/2021/214/efile(3 · 2023-07-07
Circularfreight

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Circular numberNo. TC-I/2021/214/efile(3
Date2023-07-07
TypeCommercial Circular
Topicfreight

Summary

Fixation and review of Siding Charge levied for haulage of wagons between the serving station and the siding, the siding charges should

Text of the circular

' 
' . 
3JRc=r .ff ,(c:fil,( Government of India 
t<;r '1,i I <'t·4 Ministry of Railways 
~ 
cM" Railway Board) 
No. TC-I/2021/214/efile(3 344078) 
New Delhi, Dt.07.07.2023 
Pr. Chief Commercial Manager 
All Zonal Railways 
Sub: Fixation and review of Siding Charge 
Ref: Para 1807 of Indian Railways Code for Traffic(Commercial) · 
Department(Copy enclosed) 
An instance has come to the notice of Board about short recovery of Siding 
Charge in case of one siding as the concerned zonal railway failed to conduct trails 
for arriving at average trip time. 
Extant guidelines for fixation and review of Siding Charge prescribed vide Para 
1807 of Indian Railways Code for Traffic (Commercial) Department is reiterated for 
strict compliance; so as to avoid occurrence of such instance in future. 
DA: as above

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dmlnlstration should recover repair 
additional charge over and above 
cost. 
a maintenance charges for these structures as an 
percentage charges levied on the Railway's share of the 
Fixation and Review of Siding Charges. 
1807. Where freight is levied from and to the serving station and separate siding charges are 
levied for haulage of wagons between the serving station and the siding, the siding charges should 
normally be fixed on the basis of cost per engine hour and the average time for a round trip from 
the serving station to the siding and back for placement and/or removal of wagons whether loaded 
or empty. 111e charges per trip should be arrived at by multiplying the average time taken for the 
trip by the cost of engine hour, as per the formula given below: 
Siding Charge= Average trip time in minutes x (Engine Hour Cost+ 60) 
The resultant of the above formula will be rounded off to the next higher value to arrive at the net 
Siding ~~arge. In case 'average trip lime' is less than one hour, the Siding Charge will be levied 
for a rmrumurn of one hour. Siding Charges for originating station so fixed should be included in 
the Invoice alongwith freight instead of being separately c;ilected from the siding holder. 
(Authority Board's letter No.TC-1/99/214/U Pt.III dated 14:09.09 and TC-1/99/214/11 Pt.I dt, 25-01- 
12) -ACS N0.19 & 21 
he siding charges should be revlewed periodically at intervals of not less than once a year to 
ensure that they adequately cover the cost of haulage of wagons over the siding. 
In the case of sidings where locomotives have to be brought from stations, other than the 
stations serving a siding, the time taken for bringing the locomotive from the Depot station to 
the serving station and back should also be taken into account in arriving at the time required 
for performing the round trip to serve a siding for the purpose of working out the siding 
charges. 
nnual Examination of Earnings of Sidings. 
1808. An annual examination should also be made by each Railway Administration of the 
earnings of all sidings the agreements for which do not provide for lump-sum recoveries of 
interest and maintenance charges with a view to ensure that sidings which have been 
unprofitable for a long period and are not likely to bring enough traffic to the railway to justify 
their retention, are not retained. If the annual review reveals that the earnings from siding 
charges are not adequate to cover the Interest and maintenance charges apart from the cost of 
working the siding, then the shortfall In interest and maintenance charges should be separately 
recovered from the siding holder, to ensure that Railway do not Incur any loss In working the 
siding In any particular year. If any particular siding has been financially unremunerative for 
some time, a detailed examln_atlon In respect of that particular siding should be undertaken In 
order to sec whether It would not be worthwhile to close It down out right . In making such an 
examination t

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