Is the Tejas Express Train a Success?

The Tejas Express, a premium train operated under IRCTC with the assistance of a private entity, has shown promising results in its initial operations, marking a significant step in the railway sector's strategy to enhance revenue through private participation. This success story draws a parallel with the noteworthy achievements of Tejas as an indigenously developed fighter jet, both in terms of technical prowess and financial viability.

Background and Success of Tejas Fighter Jet

The Tejas, a multi-role light combat aircraft, stands as a testament to India's indigenous defense capabilities, produced by the Hindustan Aeronautics Limited (HAL), Development and Research Organization (DRDO), and Aeronautical Development Agency (ADA). Its success can be attributed to several key factors:

Indigenous Development: The Tejas is a fully indigenously developed aircraft, demonstrating India's capability to meet its defense requirements through domestic innovation. Locally Sourced Components: A majority of its components are manufactured in India, reducing dependency on imports. Customer Approval and Operational Clearance: Following the initial operational clearance (IOC), the Tejas met the requirements of its primary user, the Indian Air Force (IAF), leading to its final operational clearance (FOC). Reliability: The aircraft has logged over 5,000 flying hours without any incidents, proving its reliability and performance. Modernization: Integrated with modern technologies, the Tejas serves as a replacement for older models like the Mig-21. Flexibility: It has the capability to use both Indian and foreign-made missiles.

Following the FOC, the Tejas MK-I and MK-II models have been developed and are under trials with mid-air refueling capabilities. The IAF has already formed two squadrons of Tejas, empowering the western sector of India. Additionally, the order for 83 LCA Tejas aircraft is indicative of the growing trust and investment in India's defense capabilities.

Tejas Express: A Similar Journey to Success

Akin to the Tejas fighter jet's success, the Tejas Express train has also demonstrated positive financial outcomes. Till October of this year, the train has made a profit of around Rs 70 lakh, with total revenue from ticket sales standing at nearly Rs 3.70 crore. On average, the train has been earning around Rs 17.50 lakh daily from passenger fares, making it a profitable venture. The operations of the Tejas Express are managed by IRCTC, the subsidiary of the Indian Railways, with the daily operational costs amounting to nearly Rs 14 lakh.

The Tejas Express, which runs between Lucknow and Delhi, signifies a pioneering initiative by the Indian Railways, where a non-railway operator runs a state-of-the-art train under the IRCTC's leadership. This arrangement aims to optimize resource utilization and enhance customer satisfaction, ensuring a balanced and efficient train operation.

Evaluating Profitability and Impact

While the Tejas Express has shown strong financial performance, it is important to recognize that the railway sector's overall earnings are heavily dependent on freight traffic. According to industry data, the railway earns around 80% of its revenue from goods trains and only 20% from passenger trains. Nevertheless, the success of the Tejas Express in generating revenues through ticket sales is a significant positive step towards optimizing the passenger train segment.

The integration of private entities in precision operations like the Tejas Express showcases a promising direction for the Indian Railways in diversifying revenue streams and enhancing service quality. This model could be replicated for other premium or high-demand routes, potentially leading to a more efficient and profitable railway sector.

In conclusion, while the Tejas Express has demonstrated considerable success in terms of financial performance, it is part of a larger strategy to leverage private partnerships for the benefit of the public through the Indian Railways. The lessons learned from both the Tejas Express and the Tejas fighter jet highlight the importance of indigenous development and the value of innovation in achieving both technical and financial success.