Analysis
Lower fares derail CGR
Apr 11, 201410:54 AM
The operational loss incurred by the Sri Lanka Railways Department or CGR last year has hugely increased when compared to 2012.
While the CGR had incurred an operational loss of Rs. 5.2 billion in 2013, in 2012 it had recorded a loss of Rs. 3.8 billion only.
Though there had been an increase in passengers resorting to train travel last year there has been a decrease in cargo transport.
Though the income of Sri Lanka Railways had increased by 11.8 percent to Rs. 5.4 billion, the operational costs had gone up by 22.4 percent to Rs. 10.6 billion.
Since the train fares are still very low compared to the other modes of transport, it is an obstruction to the continued maintenance of railway transport.
