This Bill seeks to repeal the 1905 Act and integrate its provisions related to the Railway Board into the 1989 Act, thereby giving it a statutory status.
- The Indian Railway Board Act, 1905 provides that the central government may invest its powers and functions with respect to railways in the Railway Board.
Key Provisions of the Bill
- Constitution of a body to be known as the Railway Board.
- The central government will prescribe: The number of members of the Board, the qualifications, experience, terms and conditions of service, and manner of appointment for the Chairman and members of the Board.
- It’ll act as the apex decision-making body for Indian Railways, ensuring efficient management and policy implementation.
- Greater autonomy to Zones: To improve operational efficiencies and decentralise powers.
- Independent Regulator: Establish an independent regulator to oversee various aspects of Indian Railways, including tariffs, safety, and private sector participation.
- However, the bill retains the current organisational structure of the Indian Railways.
Potential impacts:
- The functioning and independence of Railway Board will be enhanced with this Bil.
- Decentralization and empowerment of railway zones can lead to faster decision-making.
- Independent regulator can promote transparency & accountability in the railway sector.
- Pave the way for increased private sector participation, which could lead to higher fares & reduced government subsidies.
