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Syllabus: GS2/ Governance
Context:
It was a serious step towards bringing good governance to the Indian Railways when the Union Railway Minister, Ashwini Vaishnaw, introduced the Railways (Amendment) Bill, 2024, in the Lok Sabha. The legislation amends the Railway Act of 1989 by importing certain provisions from the Indian Railway Board Act of 1905 to make the powers of the Railway Board statutory and rationalise the legal framework governing the Indian Railways.
For more detailed information (Source): Bill to grant statutory powers to Railway Board introduced in Lok Sabha
Background:
Established during British colonial rule, Indian Railways is one of the largest railway networks in the world. When founded back in the year, the railways were a branch of the Public Works Department and later managed by the Indian Railways Act of 1890. Gradually as the network grew, the requirement for better management in a more orderly manner and with increased autonomy arose, and in 1905 the Railway Board was formed under the Railway Board Act.
The committee, however, observed that while the role of the Railway Board was found to be critical in running and managing the affairs of the Indian Railways, it continued to function without its base provided by an Act, after the Railways Act of 1989 had repealed the earlier Act of 1890. The Railways (Amendment) Bill, 2024, being laid is to give effect to the overdue requirement of statutory recognition to the Railway Board by formalising its powers and enhancing operational independence.
Key Features of Railways (Amendment) Bill, 2024:
Statutory powers of Railway Board:
The Railways Act, 1989, would be further inclusive of all the provisions of the Indian Railway Board Act, 1905. This would bring out the statutory powers for the Railway Board and define formally its role and responsibilities under the legal framework of the Indian Railways.
Financial independence: