Indian Railways: Why are IRCTC online tickets more expensive than counter tickets?

Indian Railways: Why are IRCTC online tickets more expensive than counter tickets?
Indian Railways: Why are IRCTC online tickets more expensive than counter tickets?

New Delhi: Indian Railways operates one of the largest rail systems in the world, with millions of people traveling by train in the country every day. It is arguably the most popular public transport in the country as the vast network every part of India with the rest of the nation. Earlier, to book train tickets, a passenger had to go to the platform and physically buy the tickets. However, with the evolution of technology, things have become much easier and people can now book train tickets from the comfort of their homes or anywhere on this planet.

Why do online tickets cost more than counter tickets?

On February 7, 2025, the government informed in the Rajya Sabha that passengers who book tickets online via IRCTC have to pay more than those purchasing them physically at railway counters. This is due to the transaction charges and convenience fee.

Earlier, Shiv Sena MP Sanjay Raut had raised some questions in the Rajya Sabha about discrepancies in the ticket price of IRCTC. Responding to those queries, Union Minister of Railways Ashwini Vaishnaw said that in providing online facility to buy tickets, IRCTC incurs a substantial expenditure. Hence, to negate the cost incurred in maintenance, upgradation and expansion of the infrastructure pertaining to ticket booking, the IRCTC levies a convenience fee.

Vaishnaw also said that customers also have to pay the banks transaction charges. Raut asked the reason behind passengers who book tickets through IRCTC paying more than those who buy the tickets from the railway counters. Replying to his question, Vaishnaw said that IRCTC’s online ticket booking facility is a passenger friendly initiative of Indian Railways. As per the information provided by him, over 80 per cent of the reserved tickets are now booked online. The Railway Minister said that by providing the facility to book reserved tickets online, IRCTC has saved the passengers from the struggle of physically visiting the reservation counters to book tickets.

In other news, Indian Railways is going to manufacture 200 Vande Bharat, 100 Amrit Bharat and 50 Namo Bharat trains in the next two to three years. This move will massively improve connectivity across the country, help low-income passengers and ease the growing pressure on railway infrastructure of India. Also, as per the government, Indian Railways will achieve 100 per cent electrification by the end of this financial year.

 Indian Railways’ online ticketing system, IRCTC, charges a convenience fee for online bookings, exceeding counter ticket prices. This fee covers the operational and infrastructural costs of maintaining the online platform.  Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today