In January 2024 alone, 4.586 million tickets were cancelled, amounting to Rs 43 crore in revenue.The Indian Railways earned Rs 1,229.85 crore from cancelled waiting list tickets between 2021 and January 2024, according to response to an RTI request filed by an activist from Madhya Pradesh. The Railway Ministry’s data further highlights a consistent uptick in earnings from this source.
Vivek Pandey shared the data on X (formerly Twitter) and questioned why are the passengers charged even when they don’t get the seat.
“The #IndianRailways clocked earnings of ₹1,230 crore from cancelled waiting list tickets, including tatkal (between yr 2021 to jan 2024). Why railways charge cancellation fee even when passengers don’t get a seat? Another money making strategy?” Pandey wrote on X.
In 2021, the cancellation of approximately 25.3 million tickets on the waiting list yielded Rs 242.68 crore for Indian Railways. The subsequent year witnessed a substantial increase in cancelled wait list tickets, soaring to 46 million and generating revenue of Rs 439.16 crore. Continuing the trend, 2023 saw 52.6 million waitlisted tickets cancelled, contributing Rs 505 crore to the Railway’s earnings.
In January 2024 alone, 4.586 million tickets were cancelled, amounting to Rs 43 crore in revenue. These figures add up to over 128 million cancelled waiting list tickets during the specified period.
A significant surge in ticket cancellations was observed during the Diwali week last year, spanning from November 5 to November 17. Indian Railways recorded 9.618 million ticket cancellations during this period, with nearly half originating from passengers on the waiting list across all quotas, as per data from the Centre for Railway Information Systems.
During this festive period, Indian Railways earned Rs 10.37 crore solely from cancellations with a final status of waiting list.
Cancellation charges vary depending on the class of travel and the timing of cancellation. For instance, cancelling a confirmed Second Class ticket 48 hours prior to departure incurs a standard fee of Rs 60, while charges for AC classes range from Rs 120 to Rs 240 plus GST. Indian Railways’ refund policies stipulate a full refund if the ticket is cancelled within 72 hours of the train’s scheduled departure.
E-tickets booked via the Indian Railway Catering and Tourism Corporation (IRCTC) platform entail a non-refundable service charge. This charge, ranging from Rs 10 to 30 depending on the mode of payment (such as UPI, debit card, credit card, net banking, etc.), remains intact even upon cancellation.
A former railway official told The Hindu that Indian Railways need to reassess its waiting list thresholds to better align with capacity and demand dynamics. They highlighted a practical example wherein assigning a waiting list of 600 for an 18-coach train with only 720 seats in the sleeper compartment may not be feasible, ultimately leading to a surge in cancellations.