NEW DELHI: Indian Railways is set to increase passenger fares from December 26 after rationalising its fare structure. There will be no fare hike for suburban services and monthly season tickets, and no increase for journeys of up to 215 km in ordinary class.For ordinary class travel beyond 215 km, fares will rise by one paise per kilometre. Passengers travelling in non-AC mail and express trains will pay an additional two paise per kilometre, while AC class fares will also increase by two paise per kilometre.For a 500-km journey in non-AC coaches, passengers will have to pay only Rs 10 extra.According to the Railways, the “minor increase” is expected to fetch about Rs 600 crore this year.Over the last decade, the Railways has significantly expanded its network and operations. To support higher levels of activity and improve safety, manpower has been increased, pushing manpower costs to Rs 1.15 lakh crore and pension costs to Rs 60,000 crore. As a result, the total cost of operations has risen to Rs 2.63 lakh crore in 2024–25.“To meet these higher manpower costs, the Railways is focusing on increased cargo loading along with limited passenger fare rationalisation. These efforts have helped improve safety and operational efficiency, making India the world’s second-largest cargo-carrying railway. The successful operation of over 12,000 trains during the recent festival season is another example of improved efficiency,” the Railways said.“Railways will continue to strive for greater efficiency and cost control to meet its social goals,” it added.