Traffic Terminology - Local, Cross, Through etc Traffic

 

Indian Railways Traffic Terminology

Traffic	Definition	Example
Local Traffic	When used with reference to a railway means traffic originating and terminating at stations within the limits of that railway, without passing over any other railway.	A passenger travelling from Howrah to Asansol (both in Eastern Railway).
Cross Traffic	Traffic that passes through a zone but neither originates nor terminates there.	A train from Delhi to Kolkata passing through North Central Railway.
Through Traffic	Traffic carried over two or more Railways	Goods consignment from Mumbai (CR) to Chennai (SR).
Interchange Traffic	Goods or passenger traffic exchanged between two zones at a junction point.	Wagons handed over from WR to NR at Mathura Jn.
Inward Traffic	Traffic that arrives into a particular zone, division, or station.	Freight train arriving at Visakhapatnam from Raipur.
Outward Traffic	Traffic that originates from a particular zone, division, or station.	Goods loaded at Durgapur for shipment to Mumbai.
Diverted Traffic	Traffic rerouted from its regular path due to operational or maintenance issues.	Train diverted via Jhansi instead of Bhopal due to track work.
Empty Flow Traffic	Movement of empty wagons (not carrying any goods).	Empty rakes moving from unloading point to loading yard.
Return Traffic	Traffic returning from the destination back to the origin.	Containers loaded from Delhi to Mumbai and then returned empty or reloaded.
Booked Traffic	Traffic for which advance booking has been made and freight collected.	Iron ore booked from Bilaspur to Paradeep Port.
Unbooked Traffic	Movement without official booking, often due to irregularities or emergencies.	Emergency movement of relief materials.
Parcel Traffic	Small consignment traffic is usually transported in SLRs or parcel vans.	Luggage/Parcels transported on passenger trains.
Military Traffic	Movement of defense equipment or personnel by Indian Railways.	Transport of army tanks or troops.

Departmental charges ( D&G charges )

Departmental Charges ( D&G Charges ) in Works Estimates 

• Sources: 1. Railway Board Letter No. 2022/E&R/3(2)/1 dated 28.12.2022 Click here

    2. Railway Board Letter No. 2018/E&R/3(2)/1 dated 04.03.2020 Clickhere 

    3. Para 1120 of IR Engineering Code 

• A committee was constituted at the Railway Board level to review the D&G charges thoroughly for various Works Estimates.  

• Based on the recommendations of the Committee, the following changes have been affected vide letter under Source No. 1 above. 

 

• Departmental Charges - New term in place of D&G Charges  

 

• D&G Charges stands for Direction & General Charges 

• Will cover - Both i.e., Departmental manpower and Hired manpower of Projects (including Revenue posts)

 

• Electrical and S&T Works  - Distinction of “With & Without Block” works removed. 

 

• Consists of the Establishment portion only.  

 

• Not included: The cost of Pay & Allowances of Land Acquisition Staff.  Because the same is included in the Sub estimate of Land Acquisition as part of the Project.  

 

• Other than the Establishment portion  -Removed.  However, ERW & Sports Development Fund are continuing.   

 

• Gazetted posts - Not more than 50%  of Departmental Charges should be utilised

% Ceiling of Departmental Charges for Various Works  

Projects	Percentage - Departmental Charges
Civil Engineering	5.33 %
Track Renewal Works (Primary & Secondary)	1.53 %
Electrical Projects (incl: RE)	7.16 %
S & T	10.05 %
Mechanical	4.93 %

 

Note: Break up of the above percentages among various Departments as per the Railway Board Letter dated 28.12.2020 (Annexure-II)

 

ERW: 

 

• ERW stands for Environmental Related Works  
• 0.5 % provision of the overall value of the Estimate including Contingency 1%. (Example: If the Estimate value is Rs.100, the ERW provision is Re 0.50)
• Applicable to Plan Heads 11, 14, 15, 30 & 42 only 
• Not applicable - If the works under the above Plan Heads are funded through EBR(IF) 
• EBR(IF) stands for Extra Budgetary Resources (Institutional Finance) 
• If the work is specifically for Environment Management, it should be processed for sanction as Itemised Work in Pink Book.

Sports Development Fund: 

 

• Object: To create a robust Sports infrastructure in tune with IR Sports contribution
• 0.1 % provision of the overall value of the Estimate including Contingency 1%. (Example: If the Estimate value is Rs.100, the Sports Development Fund provision is Re 0.10) 
• Applicable to all Plan Heads {Except Plan Heads 17 & 31 and Projects funded through EBR(IF) }
•   If the work is specifically for Sports Development, it should be processed for sanction as Itemised Work 

 

Contingency:  

 

• Uniform 1 % - shall be part of the Estimate.  (Example if the Total Estimate value is Rs.100, the provision of Contingency is Re. 1)
• Provision for contingency - Should not be diverted to any new work or repair which is not provided in the estimate.  If so, it should require the sanction of the authority who sanctioned the estimate. If the Sanctioned authority is beyond GM, the GM Can sanction.  
• The contingency portion of Departmental charges is removed.   
• Used only for Unforeseen items essentially required for completing the Project.  
• Included: Cost of Project specific training, if not covered in the Detailed Estimate. 

 Example of Calculation of:   

• The Project Estimate Cost - Rs. 49500 (excluding Contingency).  The calculation of :  

 

Item	Calculated Amount	Remarks
Contingency	Rs. 500	@ 1 % of the Estimate Value.  Part of the Estimate    The calculation of Contingency is as follows:    Value /100-1 x 1    49500 /99 x 1 = 500    That means Rs.500 is 1 % of Rs. 50,000 (overall value of the Estimate)
ERW	Rs. 250	@ 0.5 % on the Total Estimate value.(incl: Contingency)   Worked out on the overall value of the Estimate including Contingency i.e., 0.5 % on Rs.50000
Sports Development Fund	Rs. 50	@ 0.1 % on the Total Estimate value.(incl: Contingency) Worked out on the overall value of the Estimate including Contingency i.e., 0.1 % on Rs.50000

 

Key points for MCQ 

1. Calculation of the Contingency is Part of the Estimate, whereas ERW & Sports Development Fund is on the overall value of the Estimate. 
2. Departmental charges - New name of D&G charges 
3. D&G charges stand for Direction & General charges 
4. Departmental charges - Cover - Both Departmental Manpower and Hired Manpower including Revenue posts. 
5. Consists of the Establishment portion only.  The non-Establishment portion was removed.  
6. Gazetted posts - Not more than 50% 
7. ERW stands for Environmental Related Works 
8. Sports Development Fund - 0.1 %, ERW - 0.5 %, and Contingency - 1 % 
9. ERW and Sports Development Fund - Not applicable for Projects funded through EBR(IF) 
10. EBR(IF) stands for Extra Budgetary Resources (Institutional Finance) 
11.  ERW - Applicable to Plan Heads 11, 14, 15, 30 & 42 only. 
12.  Sports Development Fund - Applicable to all Plan Heads (except 17 & 31) 

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CapEx vs OpEx

 

CapEX vs OpEX

CAPEX Model (Capital Expenditure):

• Buyer purchases the asset outright using capital funds
• Ownership immediately with buyer
• Buyer responsible for maintenance, consumables, and lifecycle management
• After warranty → Comprehensive Maintenance Contract (CMC) arranged separately
• Asset retained and disposed by buyer after useful life
• Expenditure = one-time (lump sum)

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👉 Example: A Railway office buys 20 computers

• Full payment made at once
• Computers become Railway property
• After warranty → office arranges AMC/CMC (Annual/Comprehensive Maintenance Contract)
• Office purchases consumables (keyboard, mouse, parts, etc.)
• After 5–7 years → office disposes the computers

👉 Meaning: You own the asset and manage everything

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OPEX Model (Operational Expenditure):

• Seller provides the asset as a service (no upfront purchase)
• Ownership remains with seller
• Seller handles maintenance + consumables + performance
• After contract → asset taken back by seller
• Buyer does not handle disposal
• Expenditure = periodic / staggered payments

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👉 Example: A Railway office hires 20 computers on contract

• No heavy upfront cost
• Monthly/quarterly rent paid
• Vendor provides maintenance + replacements + consumables
• After contract → vendor takes back computers

👉 Meaning: You just use the asset; vendor handles everything

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🎯 Core Exam Difference (One Line)

👉 CAPEX = Buy & Own
👉 OPEX = Use & Pay 

👉 CAPEX = Buy laptop 💻
👉 OPEX = Rent laptop 💻

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⚠️ Quick MCQ Triggers

• Ownership → CAPEX: Buyer | OPEX: Seller
• Maintenance → CAPEX: Buyer | OPEX: Seller
• Payment → CAPEX: One-time | OPEX: Recurring

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Indian Railways Year Book and Annual Report - 2024-25

 click for IR Year Book 2024-25

click for IR Annual Report 2024-25

GTKM vs NTKM

 

GTKM vs NTKM

Railway Terminology

GTKM (Gross Tonne Kilometre) 🚆

Standard Definition: Total weight of a train (including locomotive, wagons/coaches and payload) moved over one kilometre

It is a measure of total transport effort of Indian Railways

👉 Simple Practical Example:

Total train weight = 1,000 tonnes and Distance = 100 km

GTKM = 1,000 × 100 = 1,00,000 tonne-km

👉 Meaning: Railways use fuel, track capacity, and manpower to move entire train weight, not just goods

NTKM (Net Tonne Kilometre) 📦

Definition: Weight of only the paying load (goods/passengers) carried over one kilometre. It is a measure of earning output

👉 Simple Practical Example:

Goods weight = 600 tonnes and Distance = 100 km

NTKM = 600 × 100 = 60,000 tonne-km

👉 Meaning: Revenue is generated only from payload, not from engine or empty wagons

Key Difference (Exam Ready) 🎯

GTKM → Total weight moved (Effort)

NTKM → Paying load moved (Earnings)

Better Real-Life Analogy 🛻

A delivery truck travels 100 km

Total truck weight (vehicle + goods) = GTKM

Only goods inside the truck = NTKM

👉 Fuel is consumed for full truck weight (GTKM)

👉 Income comes from goods delivered (NTKM)

One Line Memory Trick 🧠

GTKM = Gross = Full train 

NTKM = Net = Only earning load