Indian Railways has approved modifications in the Model Concession Agreement. Under this, Container Train Operators, or CTOs, will now be permitted to run container trains on all routes across the Indian Railways network under a single All India licence, with a uniform registration fee of 25 crore rupees. The government has also removed the earlier system of separate permissions and fees for different route categories.

 

The Ministry further informed that the approved amendments provide that the permission granted to a Container Train Operator may be extended for a further period of 20 years after its expiry.

 

The Ministry said the uniform registration fee and removal of extension fees are expected to reduce regulatory costs and simplify the approval process, encouraging greater private participation and expansion of container train operations. It added that a higher shift of container traffic from road to rail will help ease highway congestion, reduce fuel consumption and carbon emissions, and promote sustainable freight transportation. The approved amendments also provide for the extension of a Container Train Operator’s permission for a further period of 20 years after its expiry.