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Costing and Pricing Issues in Transport Sector - Indian Railways ...

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Cost of service & Value of service<br />

• S<strong>in</strong>ce alternative means of transportation is available to<br />

rail users,<br />

– Ril <strong>Railways</strong> cannot charge up to the physical limitit of the<br />

rail user can bear; but<br />

– only up to the limit of what he is will<strong>in</strong>g to bear.<br />

Tuesday, September 06, 2011 INDRA GHOSH, Adviser/Rates Slide No. 35

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