What’s inside:
This article discusses the ownership and operation of the Vande Bharat Express train in India.
The Vande Bharat Express is India’s fastest train, but interestingly, it is not owned by Indian Railways. Instead, the ownership lies with the Indian Railway Finance Corporation (IRFC). Despite being a major part of the railway network, the train operates under a leasing agreement.
Every year, Indian Railways pays a huge amount in rent to the IRFC for operating the Vande Bharat trains. This means that while passengers buy tickets to travel on this popular train, the railways are also spending crores on its lease.
The IRFC is responsible for financing trains and leasing them to Indian Railways. This company owns not just Vande Bharat, but also other trains like Shatabdi and Rajdhani. In fact, about 80% of the trains in India are owned by IRFC, which plays a crucial role in funding and managing the railway system.
The coaches of Vande Bharat are manufactured at the Integral Coach Factory (ICF). This model allows Indian Railways to expand its high-speed services without facing heavy financial burdens upfront. The cost of building these trains is very high, and the railways rely on loans managed through the IRFC for funding.
In summary, while Vande Bharat is a key player in India’s railway system, it operates under a financial model that allows Indian Railways to manage costs effectively. The lease arrangement with IRFC ensures that trains like Vande Bharat continue to serve passengers across the country.
Summary:
- Vande Bharat Express is not owned by Indian Railways.
- Its ownership belongs to the Indian Railway Finance Corporation (IRFC).
- Railways pay a significant lease amount for these trains.
- IRFC also owns other major trains in India.
- The leasing model helps manage financial costs for railway expansion.