Railway Accounts Department Examinations

Thursday, January 30, 2020

NINFRIS - New, Innovative Non Fare Revenue Ideas Scheme

NINFRIS  - New, Innovative Non Fare Revenue Ideas Scheme

·         New scheme - to increase Non Fare Revenue

·         Announced by Ministry of Railways in 2018.  Click here for Railway Board letter on NINFRIS

·         Object:  Promote new ideas and concepts for enhancement of NFR (Non Fare Revenue) and improve passenger convenience on IR

·         To classify an idea/concept as innovative - a similar proposal should not have been implemented on the concerned Division before.  

·         Replication - Divisions are encouraged to report success of such ideas and give wide publicity for possible replication across Indian Railways.  

Salient features:

ü  At Divisional level
ü  DRM – Divisional Railway manager -Full powers.
ü  Nodal Officer – Branch officer of Commercial Dept (Sr.DCM / DCM)
ü  Committee of Branch Officers of Commercial Dept, Finance Dept and Dept holding the assets to be used scrutinizes the proposals received and recommended to DRM for approval.
ü  Terms & conditions of the Agreement are accepted by the such committee with the approval of DRM
ü   Savings in expenditure if any, is added notionally as “deemed earnings” for the purpose of evaluation of project.
ü  Token non Refundable application fees Rs. 1000 – should be accompanied to each proposal.  Object of levying such fees is to avoid non serious ideas/concepts.
ü  Based on the importance  of the proposal, DRMs are authorize to decide the EMD – Earnest Money Deposit of not less than Rupees 10,000 /-
ü  Projects may be executed directly by the Divisions using their own manpower or through any Railway PSU or outside agencies such as NGO – Non Governmental Organisation, SHG – Self Help Group, Cooperative society etc.
ü  Period – One year or part there of.   Can be extended beyond one year with the approval of DRM. If Extended, Licence fees for extended period may be decided depending on the realization of the earnings of the Project.


·         Should not be political or religious in nature.

·         No permanent structure should be constructed

·         Not violating the norms of aesthetics, environmental concerns, decongestion, safety and security, free movement of passengers, sanitation standards, temporary structures, fire, safety etc as prescribed under Railway rules.

Success Stories - NINFRIS

1. Paid Gaming fun zone opens at Visakhapatnam Railway Station for passenger convenience. Rs. 3.6 Lakhs per Annum. 
      2. Health check kiosk was established at Kacheguda on payment basis. 


Sunday, January 26, 2020

ERW - Environment Related Works

ERW - Environment Related Works

·          Authority: Board's letter No.2016/EnHM/13/02 dated 13.05.2016  
·         EnHM - Environment and Housekeeping Management Directorate is new one in Indian Railways.
·          Railway is the most energy efficient transport as compared to road and air modes. Accordingly, strengthening and augmentation of rail network enables modal shift of passenger and freight traffic to Railways which helps in reducing GHG (Green House Gases) emissions. Apart from this, Indian Railways on their own also need to take additional measures to protect and contain the impact on environment due to their activities.
·      Provision for all environment related works should be thoroughly assessed and made in itemized form in the Estimates for Works.

·         Where itemized provision is not contemplated/could not be assessed at the stage of preparing estimate, a lurnpsum provision equivalent to one percent of the cost of work to facilitate execution of required environment impact mitigation works as found necessary later, may be kept to address the environmental concerns.

·         However, itemised provision and Lumpsum provision shall not co-exist in the estimate.

·         1 % Provision for ERW - Not applicable for Plan Heads 17 - Computerization and 31- Track Renewal Works and works chargeable to EBR (IF)

·         Implementation of such works are monitored by EnHM wing  on Zonal Railway / Division(Environment and Housekeeping Management)

·         Such approved works within Zonal Railway shall figure in separate Annexure under the heading "Environment Related Works under lumpsump provision of identified estimate" and the works will continue to figure in List Of Approved works (LAW) till 'its completion and closing of accountal.
·         Such works should generally be completed within two years
List of ERW - Environment Related Works

1.       Water conservation works i.e., Rain water harvesting, Water recycling plant etc
2.      Sewage treatment plant
3.       Effluent treatment plant
4.       Solid waste management solutions e.g. waste to compost, waste to energy plants etc
5.       Solar energy plants including PV modules for off-grid applications e.g. for hospitals,  stations, office buildings colonies, LC gates, signaling equipments etc
6.       Energy efficient lighting fixtures
7.       Use of Green Building features in built up space to be constructed/renovated etc.
8.       Afforestation including development of green areas
9.       Water efficient fixtures
10.   Protection and/or improvement of water bodies in railway land which helps in recharging the aquifer.
11.   Measures for mitigation of Air & Water pollution during construction & operation
12.   Construction and Demolition waste recycling Plant
13.   Measures for natural air-conditioning of the' building including geo-thermal cooling.
14.   Environment related studies including water audit and/or energy audit and works relating to implementation of recommendations of such audits.
15.    Environment related monitoring devices and tools
16.   Any other item required as per local Regulations and Court order for upkeep of environment
17.   Construction & up gradation of Toilets at Railway Stations and in Coaches.

Wednesday, January 22, 2020

Social Cost Benefit Analysis

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Social Cost Benefit Analysis
LDCE 2015 - Southern Railway

·         A social cost benefit analysis is a systematic and cohesive method to survey all the impacts caused by an development project or other policy measure.

·         Also known as Economic analysis.

·         A decision-making strategy  - assessing the impact of Investments/Projects on the Society as a whole.

·         It evaluates not just the financial benefits/costs (profits /losses), but all economical benefits/costs (pollution, health, safety, travel times etc)

·         Social Benefit  - if it is positive impact

·         Social Cost       - if it is negative impact

·         Main objective:  To attach a price to as many effects as possible in order to uniformly weigh all the mixed (i.e., positive and negative) effects.

·         Example: PRS (Passenger Reservation System) project in Indian Railways.

Ø  PRS started as a pilot project in 1985 on two trains between Delhi and Chennai with a few reservation centres in Delhi. In 2003–04, it was operational at 1,200 centres, had 4,000 terminals, covered 3,000 trains and handled one million reservations per day.

Ø  Financial benefits: cost savings, staff reduction and increase in revenue.

Ø  Economic benefits: Improved customer service, higher quality of information, improved work environment, streamlined operations, and higher employee self-esteem and morale

Ø  “from anywhere to anywhere reservations”,

Ø  With IRCTC online ticketing, the booking of train tickets is much more easier.

Ø  An approximate estimate that about Rs. 250 crore was spent on the PRS up to the CONCERT stage.  At proposal stage, it was observed as negative Rate of Return from the point of financial returns.   

Ø  A very significant intangible benefit is national pride.

Ø  The Indian Railways management and staff are justifiably proud that they have successfully implemented a world-class, state of-the-art system in a developing country.

Ø  The success of the railway PRS provided the launch pad for India’s software industry exports.


Thursday, January 16, 2020

Zone works

Zone Works

·         Source: 1203E, 1208E, 1209E

·         Meaning:  Works of ordinary repairs & maintenance, petty nature works of a particular zone ( Like SCR) or Area ((say Secunderabad)

·         Piece work contract is adopted for Zone works.  Only unit rates fixed, without reference either to total quantity of work/material supplied.

·         Advantageous to allot all minor works & all works of repairs & maintenance in a particular zone for a definite period to one Contractor.

Works under Zone Contracts - (Revenue only)

1.       Additions/alterations to the existing structures, special repair works, supply of building materials - But each work / Work order not exceeding Rs.5 Lakhs.
2.       All ordinary repairs & maintenance works
3.       Supply of materials. e.g., bricks, lime, sand etc which are likely to be required in a Zone during the year.

·          Period – one year- Normally 1st July to 30th June.

·         Period may be extended more than a year with the concurrence of Accounts, if it is advantageous to Railways.

·         Ensure all works of old contract are completed by 30th June.

Monday, January 13, 2020

RTIS – Real-time Train Information System

RTIS – Real-time Train Information System

·         Project executed by CRIS – Centre for Railway Information System, an IT arm of Indian Railways in collaboration with ISRO – Indian Space Research Organisation.

·          This requirement gained greater significance after implementation of ICT based Control Office Application (COA) on all divisions of Indian Railways. As COA is already integrated with National Train Enquiry System (NTES), accurate real-time information for passengers will get enabled automatically as a by-product.

·         Object:  Automatic acquisition of train movement data i.e., arrival, departure, run through timings at Railway stations

·         As part of the project, RTIS devices have been installed in Locomotives.

·         Indian Railways has  15000 Locos  ( 5500 electric locomotives, 6500 diesel locomotives and 3000 EMU/ MEMU /DMUs). As of now (till November, 2019), 2700 devices are installed in Phase 1.

1.       Automatic capture of train running Information & automatic plotting of Control Charts in COA.
2.       Stress free work conditions for train controllers.
3.       Accurate train running information to passengers.
4.       Improving the efficiency of train control.
5.       Richer MIS for management.

Saturday, January 11, 2020

Inspection Of Executive Offices

Source: Chapter XVII of Accounts Code Volume one
Salient features

·         Inspection of Executive offices is one of the important functions of the Accounts Dept.
·         Experienced staff & officers are to be deputed for inspection.
·         Detailed check-list of items are available in Inspection Manual for guidance of the Inspection staff.
·         Inspections should also be conducted by Senior Officers of the Accounts Dept at different levels on regular as well as programmed basis.
·         Inspecting officer should not confine himself merely to the routine check up, but should take the opportunity of offering suggestions to the Executives on

A.      Bearing on economy in expenditure
B.      Untapped sources of revenue
C.      Recovery of railway dues
D.      Reducing clerical work
E.       Delays in measurement of work done by the contractors or preparation of bils
F.       Reduction of Overtime etc.
·         Inspecting officer should discuss his suggestions with the Executive officer concerned, and important suggestions, if any should be reported to the PFA.
·         Inspection team should collect Memorandum of points requiring special attention, delay in clearance of arrears if any or outstanding items in suspense accounts signed by SSO(A) from each of the sections in the Accounts office.
·         Inspection team should discuss all important points noted down during inspection with the head of Executive office, as far as practicable, on the spot.
·         As a result of such discussion, if the Inspection officer is satisfied that there has been no irregularity or objection in regard to any point, it should be dropped and should not find a place in Inspection report.  


·         On the spot inspection of the source documents maintained in the executive offices which are not sent to the Accounts office for check. 
·         The internal check is exercised in Accounts Office on bills and returns prepared by Executives. Many of the original records on which bills and returns, etc., have been prepared by the Executive.  Hence it is one of the functions of the Accounts Officer to inspect of those original records on which bills and returns, etc., have been prepared by the Executives.
·         To see that the financial rules and orders are being carried out or not.

Documents to check in Executive offices

1.       Initial records/original records.
2.       Bills, returns & vouchers submitted to Accounts Office.
Scope of Inspection:

·         Accounts of Cash – Full check
·         Initial records – Certain percentage
·         Stores Accounts – Full check for one selected month.  Check of one day transactions for each other month for the period intervening since last inspection.

Inspection of Stores – Open Line

·         Done by Stock Verifiers or ISA – Inspector of Stores Accounts
·         Detailed rules prescribed in the IR Code for the Stores Dept.

MAS – Materials –at-site
Once in a year
Stores with Imprest holders
Once in two years
Tools and Plant
Once in three years

Inspection of Stores – Depots

Items, whose annual usage value of
Rs. 50000 and above
Once in 6 months
Rs. 10000 to Rs. 50000
Once in a year
Below Rs. 10000
Once in two years
All items – no issues for 12 months & over
Once in a year

·         PFA & GM may agree to extend the period of verification or curtail the items to be verified, if they felt

1.       The reduction in check will not impair efficiency,
2.       The reduced check will provide sufficient safeguards against loss, &
3.       Too rigid checking is not conducive to economy or is wasteful.

Inspection of Divisions:

·         Other than Engineering Dept. - Once in every two years.
·         Engineering dept – both open line and construction – once in a year
·         The first inspection of a Construction office  - within 3 months of its formation.

 Inspection of Sub Divisions:

·         Engineering Dept – 1 sub divisional office and 2 subordinate offices along with Divisional office – once in a year
·         Other than Engineering Dept – cover all sub divisional offices once in two years.

Inspection Programme:

·         Should be drawn up before commencement of year, duly coordinating with the Statutory Audit duly taking their Inspection programme into consideration.
·         Ensure, that an office which is inspected by the Statutory Audit staff in a one year is not inspected by the Accounts Dept in the same year.
Notice of Inspection:

·         Should be given sufficient notice of the probable dates of inspection, so that the executive may collect necessary documents and arrange to be present at his Hqrs to discuss with the Inspecting officer.
·         The notice should not be longer than necessary for this purpose and the programme of inspection should not be larger than necessary for this purpose
·         The inspection programme should be treated as confidential until the notice of the inspection is actually addressed.

During Inspection:

·         Selected month in the year – To see all the returns, bills, statements and accounts submitted to Accounts office agree with the books and original records kept locally.
·         Test check – Original records not submitted to the Accounts office.
·         Review of arrangement for prompt recovery of railway dues from the parties concerned
·         General review of procedure of maintenance of initial accounts of receipts and expenditure of cash and stores.

Inspection Report:

·         Draft Inspection Report should be completed before leaving the office inspected. The Executive has been given an opportunity of reading and discussing it.
·         It should be brief, items to be arranged in a proper manner duly numbered serial.
·         It should be couched in simple and polite terms.
·         Prepared in two parts such as Part I and Part II.

Inspection Report Part I :

A.      Contains points of Major Importance.
B.      Prepared in triplicate.  First one is Office Copy, Other two copies are sent to the Immediate superior  of the officer(say Sr.DEN) of the officer ( say AEN) whose office was inspected with a request that third copy may be forwarded to the latter (say AEN) for early remarks.
C.      In cases of serious irregularities, the same should be entered in the Register of Serious Irregularities (A. 861)
D.      The remarks of the superior Executive Officer should be scrutinised and further action that may be necessarily taken under the orders of Accounts Officer.

Inspection Report II:

A.      Contains points other than that of Part I.
B.      Prepared in duplicate.  First one is Office copy and Second one is sent to the Officer whose office was inspected.
C.      The Accounts officer should satisfy himself during his next inspection that suitable action has actually been taken on the points raised therein.