Bilour demands 400 locomotives to transform PR into profit entity
ISLAMABAD: Minister for Railways Haji Ghulam Ahmad Bilour on Wednesday said Pakistan Railways (PR) could be transformed into a profit earning organization if it gets 400 locomotives.
Responding to a call attention notice in National Assembly he said the Ministry is trying its best to improve the services but due to budget deficit PR is facing problems and difficulties.
Bilour said that Railways was promised Rs 5 billion in January 2010 but the amount was not given. He further said that another demand of Rs 11 billion was placed before the cabinet and it was said that the amount would be arranged from commercial loans, however, the ministry wanted it to be given by SPB, as it has low mark-up rate.
The Minister further said that the ministry has 5,000 wagons in ready conditions, which need 400 locomotives for meeting hundred per cent deficit in the budget.
He said Railways budget was reduced to Rs 7.3 billion from Rs 13.6 billion after cut in the development allocations.
He said out of total 520 locomotives only 146 are on track while rest of the locomotives are out of order, similarly, 70 per cent carriages are out of services.
The government should complete arrangements to release the approved Rs 11.5 billion Railways bailout package in one go, he said adding that PR is a cheap mode of transportation.
He said the PR was losing business to road transporters because it was running only four freight trains daily. The PR suspended passenger trains on seven routes last year, he added.
Bilour said Rs 11.5 billion PR-specific package was approved by the federal cabinet on Dec 30, but the finance division had not released the amount.
Regarding property disputes with provincial government of Punjab and Sindh he said PR is convincing the two provincial governments to share railways lands by the ratio of 50/50 per cent.
To a suggestion of a parliamentarian he said it is not fair to sale the precious lands of PR to bring the organization out from losses, adding that privatization of PR is not possible as it is already facing losses.