Cost Control by IR in account of fuel costs in last 3 years.
Fuel expenses in 2013-14 was 29,300 Cr (23.6% of total expenses Rs. 1,24,000 Cr.)
Fuel expenses in 2014-15 was 29,000 Cr (21.2% of total expenses Rs. 1,37,000 Cr.) i.e. saving of Rs. 3400 crore
Fuel expenses in 2015-16 was 26,900 Cr (18.4% of total expenses Rs. 1,46,000 Cr.) i.e....
more... saving of Rs. 7600 crore
Fuel expenses in 2016-17 was 23,400 Cr (13.4% of total expenses Rs. 1,74,000 Cr.) i.e. saving of Rs. 17700 crore
Fuel expenses in 2022-23- is estimated at Rs 16000 Cr (5.3% of total expenses Rs. 3,00,000 Cr.) i.e. saving of Rs. 63500 crore
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Above expense reduction has been achieved in spite of the fact that traffic has increased and cost of inputs have drastically increased over the years due to inflation. The benefits are recurring. These cost control measures have played a big role in maintaining operational surplus in IR accounts.
After 90% electrification is complete (planned by by 2022-23), the fuel cost shall come down from no.2 component at 23.6% (After employee cost) to a minor component at just 5.3%.