Railways can help save Rs 1.28 lakh crore annually in diesel costs with its freight & cargo hauling : Ashwini Vaishnaw

NEW DELHI : Railway Minister Shri Ashwini Vaishnaw has said that India can potentially save Rs 1.28 lakh crore annually in diesel costs by 2031 if it successfully transports an additional 1500 million tonnes of cargo through trains. Speaking at the 68th National Railways Awards, Vaishnaw stated that India’s economic growth is expected to result in an additional 3000 million tonnes of cargo being moved within the country by 2031.

According to the minister, Indian Railways is on track to capture half of this incremental cargo growth, resulting in a reduction of 16,000 crore litres of diesel consumption each year. This would translate to an annual savings of Rs 1.28 lakh crore for India, he was quoted as saying by ET.

Despite achieving a record high of 1512 million tonnes of cargo transported during the fiscal year 2022-23, representing an increase from 1418 million tonnes in the previous year, Indian Railways currently accounts for less than 30% of India’s total cargo movement. The majority of cargo is still transported by road, as per official estimates.

Vaishnaw highlighted the progress being made in railway infrastructure development, including the construction of new tracks and the addition of multiple lines to existing ones. He also mentioned the introduction of over 200 new rakes in the past two years, as well as the induction of technologically advanced trains such as the Vande Bharat and Amrit Bharat.