Railway Accounts Department Examinations

Showing posts with label bibek debroy committee. Show all posts
Showing posts with label bibek debroy committee. Show all posts

Saturday, June 6, 2020




·         Full name is "Committee for mobilization of resources for major Railway projects and restructuring of Railway Ministry and Railway Board".


·         Terms of reference of the committee:

                                i.            Re organization of Railway Board.

                              ii.            Promote exchange of Officers between the Railways and other Departments.

                            iii.            Estimate financial needs and ensure the proper resources from internal & external to meet the future Railway needs.

                             iv.            Setting of Railway Regulator.


·         Constituted in September, 2014.


·         Interim Report submitted on 31.03.2015 and Full Report submitted to the Railway Board in June, 2015.


·         Consists of Chairman (Shri Bibek Debroy, Member, Niti Ayog) and seven Members. 


·          Popularly called as Debroy Committee.


·         Time frame for Restructuring for Indian Railways  - 5 years.  Hence it recommends three building blocks/pillars namely,


1)      Commercial accounting

2)      Changes in HR  and

3)      an Independent Regulator.


·          Recommendations of the Debroy Committee in  brief are :


1.      To hive off the non core activities like Hospitals, Security, Construction & maintenance of Quarters, Schools, Catering & manufacture of locos, coaches and wagons.


2.      Choice to GMs/DRMs  - Either  A) to persuade State Governments to bear 100 % cost of GRP - Government Railway Police ( at present 50 % ) or  B) GMs/DRMs should have freedom to choose Private Security agencies or RPF for security on the trains.


3.      Not recommended of privatization of Indian Railways. Prefers use of the word Liberalization.


4.      Schools & Colleges - Subsidizing children education at alternative schools like KVs - Kendriya Vidyalayas  &  Private schools.


5.      Medical facilities - a) given choice to staff for opting Railway Hospitals or private empanelled practitioners  or CGHS - Central Govt Health Services.


6.      Construction organizations  - Bringing out all zonal construction organisations under umbrella of one or more PSUs like IRCON or RVNL etc.


7.      Rationalization of More Zonal Railways/Divisions.  That means contained to optimum number of Zones/Divisions from the present number.


8.      DRMs to be more powerful by recommending the followings ones.

A.      Financial powers should be inflation indexed.

B.      Re appropriation of funds between Plan Heads, if earnings target is achieved. 

C.      Portion of earnings should be retained in Division for specific use.

D.     Have power to sanction new posts in lieu of surrendered posts.

E.      Finance must be completely under DRM

F.       Option to choose between RPF & Security Agencies.  


9.      Railway Stations - Recommends Gazetted Station Managers for A 1 & A Stations.  Supervisors at Station should report their Officers through Station Manager only.


10.  Railway Board should be re organized  as 

a) Member (Traction & Rolling Stock)

 b) Member ( Passenger & Freight business)

 c) Member (HR & Stores)   - Need not be from Railways

d) Member (Finance & PPP) - Need not be from Railways

 e) Member (Infrastructure)


11.  Accounting reforms - introduction of Accrual accounting in Indian Railways.


12.  Reduction of number of Group A services in Indian Railways. 


13.  Merging of Group A Services in two broad groups.  i) Indian Railways Technical Services

( IRSME, IRSE, IRSEE, IRSSE, IRSS ) ii) Indian Railways Logistics Service (IRTS, IRAS & IRPS)


14.  Lateral inflow of talent from outside, such as Chartered Accountants, Cost Accountants, Bankers, Scientists on Deputation.  Similar way, Railway staff allowed to go on deputation to other Central Govt. departments.


15.  Phasing out separate presentation of Railway Budget and merger the same with General Budget.  


16.  Establish non-fungible or non-lapsable safety fund (with funding as surcharge and matching grant from Govt. )


17.  Encourage on - board catering through large food chains and local restaurants.


18.  Setting up of Independent Regulator - RRAI - Railway Regulatory Authority of India.


19.  IRMC - Indian Railway Manufacturing Company  -   All production units such as ICF, CLW etc brought under the control of IRMC.


20.  General Managers - GMs - should have more powers of Re Appropriation of funds.