Why in the News?

The Railways (Amendment) Bill, 2024 was passed in the Lok Sabha, despite disruptions. The Bill was passed five months after it was introduced on the floor of the House.

What’s in Today’s Article?

• Introduction (About Railways Bill, 2024)
• About Railways Bill (Key Features, Significance, Criticism, etc.)

Introduction:

• The Railways Act, 1989 regulates various aspects of Indian Railways' administration and operation. The Indian Railway Board Act, 1905 created the Railway Board as the central authority for railway governance.

Key Features of the Railways (Amendment) Bill, 2024:

• Repeal of the Indian Railway Board Act, 1905:
  • The Bill repeals the 1905 Act, which governed the establishment and powers of the Railway Board.
  • Provisions from the 1905 Act are now incorporated into the Railways Act, 1989, for a unified legal framework.
  • This aims to simplify the legal framework by consolidating laws.
• Constitution of the Railway Board:
  • Empowers the central government to determine:
    • The number of Railway Board members.
    • Qualifications, experience, and terms of service for the Chairman and members.
    • Method of appointment for these positions.
• Streamlining Legal Provisions:
• Consolidates provisions for easier administration and to reduce the need for cross-referencing between multiple laws.
• Administrative Integration:
  • Maintains the Railway Board’s central authority while aiming for operational efficiency and uniformity in governance.

Significance:

• Legal Simplification:
  • Combines the provisions of the 1905 Act and the 1989 Act, reducing legislative redundancy and simplifying governance.
• Improved Governance:
  • Enables the central government to prescribe updated qualifications and service terms for Railway Board members, potentially improving leadership quality.
• Foundation for Future Reforms:
  • Aligns with recommendations for a modernized railway structure, paving the way for potential decentralization and private sector participation.
• Alignment with Development Goals:
  • The Bill is in line with India’s broader infrastructure and economic development objectives, which depend heavily on an efficient railway system.

Opposition’s Concerns:

• Opposition leaders had raised multiple concerns:
  • Privatisation Fears: Congress argued that the Bill could pave the way for privatising Indian Railways, reducing its accessibility for the poor.
  • Impact on Autonomy: Many MPs expressed apprehensions that increased government control over Board appointments might erode the autonomy of Indian Railways.
  • Passenger Concessions: Several MPs demanded the restoration of fare concessions for senior citizens, journalists, and economically weaker sections, which were discontinued during the pandemic.

Conclusion:

• The Railways (Amendment) Bill, 2024, is a step toward simplifying the legal framework governing Indian Railways.
• However, addressing longstanding challenges in organization, financial sustainability, and private sector involvement remains critical for modernizing and expanding the Railways' efficiency and profitability.
• A greater push for decentralization, transparent regulation, and infrastructure investments is essential to meet these goals.