**Executive Summary**
This document addresses Lok Sabha Unstarred Question No. 2059, concerning the determination of metro rail fares. The question was posed on December 11, 2025, by Shri P C Mohan to the Minister of Housing and Urban Affairs. The document outlines the process for fare fixation, revenue sharing, and considerations for affordability.
**Key Points / Main Content**
* **Fare Fixation Process:**
* Governed by the Metro Railways (Operation & Maintenance) Act, 2002.
* A Fare Fixation Committee, comprised of a chairman and two members, is formed by the Central Government upon request from a concerned State Government.
* The Fare Fixation Committee considers affordability for commuters when making recommendations.
* **Revenue Sharing:**
* Revenue from metro operations, advertisements, and commercial spaces are utilized for operational expenses and loan repayments.
* Profit After Tax (PAT), after deducting capital and operational costs and depreciation, is shared equally between the Central and State Governments.
* **Bengaluru Metro Rail Corporation Limited (BMRCL) Fares (as of 09/02/2025):**
* F1 (0-2 KMS): 10
* F2 (2-4 KMS): 20
* F3 (4-6 KMS): 30
* F4 (6-8 KMS): 40
* F5 (8-10 KMS): 50
* F6 (10-15 KMS): 60
* F7 (15-20 KMS): 70
* F8 (20-25 KMS): 80
* F9 (25-30 KMS): 90
* F10 (>30 KMS): 90
* **Discounts (applicable to BMRCL Fares):**
* 5% discount on smart cards.
* Additional 5% discount for smart card users during off-peak hours (excluding Sundays and National holidays).
* 10% discount for smart card users on Sundays and National holidays.
**Impact Analysis**
**Stakeholder: Central Government**
* **Impact:** Receives a share of Profit After Tax (PAT) from metro operations and is responsible for forming the Fare Fixation Committee upon request from the State Government.
* **Action Required:** Ensure compliance with the Metro Railways (Operation & Maintenance) Act, 2002, when addressing fare fixation requests from State Governments.
**Stakeholder: State Government**
* **Impact:** Receives a share of Profit After Tax (PAT) from metro operations and can request the Central Government to form a Fare Fixation Committee.
* **Action Required:** Submit requests to the Central Government to form a Fare Fixation Committee when fare revisions are necessary.
**Stakeholder: Metro Corporations**
* **Impact:** Responsible for utilizing revenue to cover operational expenses and loan repayments. Profits are shared with the Central and State Governments.
* **Action Required:** Adhere to fare structures set by the Fare Fixation Committee and manage revenue distribution as outlined.
**Stakeholder: Commuters**
* **Impact:** Fares are impacted and subject to changes according to the Fare Fixation Committee's recommendations. Affordability is considered.
* **Action Required:** Be aware of fare structures and potential discounts (e.g., smart card discounts) to minimize costs.
Key Entities Referenced
Fare Fixation Committee: A committee responsible for reviewing and recommending metro rail fare changes, comprising a chairman and two other members, formed by the Central Government upon receiving a request from a concerned State Government.
Metro Railways (Operation & Maintenance) Act, 2002: The act that governs the extent provisions for fare fixation for metro rail systems.
Bengaluru Metro Rail Corporation Limited (BMRCL): The metro rail corporation, the fare revision, and revenue-sharing models adopted by which are inquired about.
GOVERNMENT OF INDIA
MINISTRY OF HOUSING AND URBAN AFFAIRS
LOK SABHA
UNSTARRED QUESTION NO. 2059
TO BE ANSWERED ON DECEMBER 11, 2025
DETERMINATION OF METRO RAIL FARES
NO. 2059. SHRI P C MOHAN:
Will the Minister of HOUSING AND URBAN AFFAIRS be pleased to
state:
(a) the details of the process and authority responsible for deciding
metro rail fares in various cities including the criteria or parameters
considered;
(b) whether the Metro Rail Fare Fixation Committee periodically
reviews and recommends fare changes and if so, the details thereof
along with the time intervals for conducting such reviews;
(c) the manner in which revenues and profits from metro operations,
advertisements and commercial spaces are shared between the
Union Government, State Governments and Metro
Corporations; and
(d) the details of fare revision and revenue-sharing models adopted by
Bengaluru Metro Rail Corporation Limited (BMRCL); and
(e) whether any changes are under consideration to improve financial
sustainability and affordability for commuters and if so, the details
thereof?
ANSWER
THE MINISTER OF STATE IN THE
MINISTRY OF HOUSING AND URBAN AFFAIRS
(SHRI TOKHAN SAHU)
(a) & (b): The Fare Fixation is governed by extent provisions of the Metro
Railways (Operation & Maintenance) Act, 2002. Fare Fixation Committee,
comprising of a chairman and two other members, is formed by Central
Government on receiving a request from concerned State Government.
(c) & (d): The revenue from metro operations, advertisements and
commercial spaces are utilized for meeting operational expenses and loan
repayments. Based on profit and loss account of the company, profit is to
be shared equally with Central and State Government only when there is
Profit After Tax (PAT) after deducting all permissible capital, operational
costs and admissible depreciation from the gross accruals from fare and
non-fare box revenue. The details of revised fare are enclosed as Annexure.
(e): The aspect of affordability by commuters is kept in view by Fare
Fixation Committee while making recommendations.
*****Annexure
ANNEXURE REFERRED TO IN REPLY TO PART (c) & (d) OF THE LOK SABHA
QUESTION NO. 2059 FOR ANSWER ON 11.12.2025 REGARDING
DETERMINATION OF METRO RAIL FARES ASKED BY SHRI P C MOHAN
Revised fare based on the recommendations of 1st FFC and implemented
by BMRCL from 09/02/2025:
Fare Distance Slab
BMRCL Fare
Zone (KMs)
F1 0-2 10
F2 2-4 20
F3 4-6 30
F4 6-8 40
F5 8-10 50
F6 10-15 60
F7 15-20 70
F8 20-25 80
F9 25-30 90
F10 >30 90
Note: Following discounts are applicable.
1. 5% discount on smart cards.
2. An additional 5% discount for smart card users during off-peak
hours on all days, except Sundays and National holidays.
3. 10% discount for smart card users on Sundays and National
holidays.