Coal consumers ask Centre to revoke ‘congestion’ surcharge imposed by Rlys

Our Bureau Updated - December 18, 2014 at 12:08 PM.

Coal consumers have asked the Centre to revoke the additional surcharge for “congestion” recently imposed by the Railways.

The Railways on November 20 imposed the congestion surcharge of 10 per cent on the base freight on rake dispatch from any Indian port, said the Coal Consumers' Association of India (CCAI).

Currently, consumers of imported coal face problems of evacuation over the paucity of rail rakes. According to CCAI, congestion at the ports is an outcome of the non-supply of sufficient wagons by the Railways. Congestion caused by the Railways has already affected coal movement from the ports and consumers have to resort to the costlier option of road transport, additional rent, demurrage, and loss of production, CCAI said.

The consumers’ body said there have been occasions when the surcharge was even levied when there was no congestion.​

Published on December 13, 2014 11:05