Railways adds 8 reforms under ‘Reform Express’

New Delhi, July 14: Union Railway Minister Ashwini Vaishnaw on Tuesday unveiled eight new structural reforms aimed at lowering logistics costs, expanding containerised freight movement and encouraging private investment, taking the total number of reforms under the Centre’s ‘Reform Express’ initiative to 17.

The reforms target freight transportation, logistics, construction, project execution, wagon design, skilling and ease of doing business as part of the Ministry’s goal of implementing 52 reforms in 52 weeks to modernise Indian Railways.

Addressing a press conference at Rail Bhavan, Vaishnaw said the reforms are designed to build a future-ready railway system while improving efficiency and strengthening the freight ecosystem.

“These reforms will enable faster project execution, encourage innovation and help Indian Railways build a future-ready system,” he said, adding that the reforms introduced earlier under the initiative have already begun yielding positive results.

Among the key measures announced is the introduction of containerised transportation for fly ash, replacing the conventional use of open wagons. The Railway Ministry said specially designed ISO-standard containers will allow pollution-free transportation, improve logistics efficiency and encourage greater movement of fly ash by rail while reducing dependence on road transport.

In another major reform, the Ministry replaced the existing multi-category licensing framework for container train operators with a single pan-India licence. The move removes category-based restrictions and introduces a uniform registration fee of ₹25 crore, replacing the earlier structure that required separate licences and higher fees for different categories.

The government said the simplified licensing regime is expected to improve ease of doing business, encourage greater private participation in freight operations and increase containerisation across the railway network.

The Ministry also announced simplified freight charging systems for fertilisers and foodgrains, flour and pulses by replacing multiple slab-based tariffs with a per tonne per kilometre structure. The reforms permit containerised transportation of these commodities, allowing phased unloading and distribution, faster wagon turnaround and reduced weather-related losses.

To improve railway infrastructure projects, Indian Railways introduced a new policy for certification of artisans engaged in safety-critical works such as welding, fitting and masonry. Workers will undergo assessments and receive QR code-enabled skill certificates linked to a digital verification database.

Construction reforms announced on Tuesday include upfront performance security, stricter eligibility norms for contractors with excessive litigation, mandatory risk insurance and a streamlined land handover mechanism. The Ministry also launched the Rail Bhoomi digital platform to speed up land acquisition and project implementation.

To promote innovation in freight transportation, the Ministry introduced a new wagon design approval policy allowing private manufacturers and industries to develop specialised freight wagons for commodities such as steel, petroleum, chemicals, milk and plastics, subject to testing and regulatory approvals.

In another significant policy change, oil companies will now be allowed to procure or lease specialised petroleum tank wagons for operation on the railway network, replacing the earlier system under which such wagons were owned exclusively by Indian Railways.

Vaishnaw said the reforms would help shift more freight traffic from roads to railways, lowering logistics costs while reducing carbon emissions. Rail transport, he said, generates nearly 90 per cent lower carbon emissions than road transport and greater containerisation would diversify Indian Railways’ freight basket beyond traditional bulk cargo.

Related Articles