Railway Convention Committee

Prior to 1924, the Railway Finances were a part of the Central Government Finances. From 1924 onwards, the Railway Budget was separated from the Central Government budget and that continues till date. The finances of the Railways are determined by the Railway Convention committees since the Railway Convention 1950.

Railway Convention Committee

The railway convention committees are appointed every 5 years by convention to review the finances of the Indian Railways, constitution and administration of the various railway funds including the Railway Revenue Fund , Railway Reservation Fund etc.

Composition

There are 18 members (12-Lok Sabha; 6-Rajya Sabha) in the Railway Convention Committee. The Lok Sabha members are nominated by speaker and Rajya Sabha members are nominated by Chairman of Rajya Sabha (i.e. Vice-President). Minister of Railway and Minister of Finance are amongst the nominated members of Railway Convention Committee. Chairman of the Railway Convention Committee is appointed by Speaker.

Functions

• To review rate of dividend to be paid by Railways to Government and make suggestions in that relation.
• Level of appropriation to various funds of Railways like the Depreciation Reserve Fund, Development Fund, Capital Fund, Pension Fund, etc.
• Any other matter as referred to the committee by Lok Sabha speaker.