Indian Railway Stations-Policy on Co-Branding
This policy is to generate non-fare revenue by allowing co-branding / station branding / semi-naming rights at railway stations, or prefixing / suffixing of brand names / logos to the names of railway stations to government and reputed business houses (not advertising agencies). For all purposes, such an activity is a form of advertisement only and does not tantamount to change in the name of the railway station.
Policy on co-branding, station branding, semi-naming of railway stations or prefixing, suffixing brand names, logos to the names of railway stations
Government of India
Ministry of Railways
No. 2019/ NFR/ 38/ Co-Branding of Railway Stations
E-office no. 3293405
The General Managers All Indian Railways; and Metro Railway, Kolkata
(Commercial Circular no. 07 of 2022)
POLICY ON CO-BRANDING OF RAILWAY STATIONS
Subject: Policy on co-branding / station branding / semi-naming of railway stations or prefixing / suffixing brand names / logos to the names of railway stations
The objective of this policy is to generate non-fare revenue by allowing co-branding / station branding / semi-naming rights at railway stations, or prefixing / suffixing of brand names / logos to the names of railway stations to government and reputed business houses (not advertising agencies). For all purposes, such an activity is a form of advertisement only and does not tantamount to change in the name of the railway station.
Hereinafter, the terms co-branding or station branding or semi-naming rights of railway stations, or prefixing / suffixing of brand names or logos to the names of the railway stations, shall all mean the same and are simply denoted as co-branding, which is the advertising right assigned to the licensee to only suffix or prefix its brand name or logo to the name of the railway station, along with any other rights assigned in accordance with the above policy.
3. Main Features of the Policy
3.1 The concept of co-branding
The idea is to permit the licensee (the brand owner) to prefix or suffix the brand name or logo to the name of the railway station and such brand name shall not exceed two words. This is purely a form of advertisement and does not tantamount to change in the name of the railway station. However, co-branding shall not be permitted on the railway tickets, PRS, websites, route maps, in announcements through the public address systems, on the Rail Display Network (as per para 13.2 of RDN policy), amongst others, where the name of the railway station shall be its original name only.
3.1.1 In order to maximize revenue from co-branding of stations, Zonal railways (ZR)s may consider clubbing of stations for bidding in clusters.
3.2 Locations permitted for co-branding
3.2.1 Co-branding shall be permitted at all the places in the station building area wherever the name of the railway station is displayed.
3.2.2 In addition to the prefix / suffix indicated above, the licensee may be given advertising rights for its brand in the circulating area subject to conditions of the Out of Home policy, and availability of space. However, the quantum/ location of space to be allotted in circulating area shall be decided by the respective ZRs/ Divisions keeping in view the availability of space, station layout, facade and aesthetics.
3.2.3 It must be ensured that advertising spaces, as mentioned in para 3.2.2, do not conflict with spaces already awarded under the provisions of the existing non-fare revenue policies, such as but not limited to, Out of Home publicity and the Rail Display Network.
3.2.4 Due care should be taken so that prefixing/ suffixing does not adversely impact clear visibility of station name that is essential for train operations.
4. Co-branding exclusions
The following types/ categories of advertisements shall not be permitted. The negative list is illustrative in nature:
4.1 Heritage buildings and in railway stations named after eminent personalities, national leaders, martyrs, etc.
4.2 Surrogate advertisements.
4.3 Advertisement of drugs, alcohol, cigarette, or tobacco items.
4.4 Advertisement linked directly or indirectly to or include description of items, goods or services that are prohibited under any applicable law for the time being in force, including but not limited to the Drugs and Cosmetics Act, 1940, the Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954, the Indian Penal Code, 1860.
4.5 Any content that threatens or adversely affects the public image of IR/ State/ Central Government or IR’s ability to operate its facilities or IR’s ability to attract and preserve patronage of passengers.
4.6 The negative list as per local Outdoor Advertisement Policy, if any.
4.7 Branding by political parties, religious institutions/ outfits and individual personalities.
4.8 Advertisement banned by the Advertising Council of India or by law.
Other Aspects of the Policy
5.1 The prefix-suffix should be in a different font / color and smaller in size as compared to the station name and IR’s logo in order to maintain prominence of the station name and IR’s logo. Its form cannot be akin to station’s name and IR’s logo.
5.2 For the purpose of prefixing / suffixing brand name or logo to the name of the station, either of the two – brand logo or brand name – shall be permitted, and not both.
5.3 For the purpose of prefixing / suffixing brand name or logo to the name of the station, the brand name shall not contain more than two words. In case the brand name has more than two words, only logo should be used.
5.4 The Licensee shall pay the requisite advertising tax, if any, due to local government authorities as a result of the above activity.
6. Mode of Awarding Contracts and Other Terms and Conditions
6.1 Contracts shall be awarded by means of EOI/ open bidding, and reserve price may be arrived at by considering relevant parameters such as prevailing circle rates, and practice followed in other NFR contracts.
6.2 Brand name/ logo to be appended with the station name would be approved by the Principal Chief Commercial Manager of concerned ZR. This provision is to ensure that IR’s image as well as aesthetics are given due regard.
6.3 Co-branding shall be done only by the licensee. Sub-letting the same shall not be permitted.
6.4 The tenure of the co-branding license shall be for a minimum period of 01 (one) year up to 03 (three) years.
6.5 Divisions shall follow due procedure in respect of EOI/ tendering as laid down in the latest Model Schedule of Powers issued time to time by Railway Board.
6.6 Earnest Money (EMD): EMD shall be fixed at 2% of the total value of contract as decided by zonal railways.
6.7 Successful Licensee shall have to pay the License Fee in advance on half yearly basis for each year to Indian Railways. The licensee shall also be liable to pay applicable GST under RCM to the tax authorities.
6.8 The station would be handed over for co-branding activities on “as is where is basis.”
6.9 The licensee shall be responsible for installation, operation, maintenance and removal of its assets, including but not limited to advertisement panels and billboards.
6.10 While the railway administration shall provide security at stations, it shall not be responsible for any vandalism, theft or damage to any advertisement panels or billboard or products put up by the licensee at the station. •
6.11 The licensee shall ensure that the station building including walls, floors, roofs, etc., are not damaged in any manner and all installation, operation, maintenance and removal of advertisement billboards, panels, etc., shall be done after obtaining written permission of railway administration.
6.12 In case of any damage to railway property during installation, maintenance or removal of licensee’s assets such as advertisement panels, billboards, vinyl
wrappings, etc., railway administration, as it deems fit, may recover the charges for restoration of the same from the licensee.
6.13 Co-branding of railway stations being redeveloped by Zonal Railways/ RLDA shall be in accordance with Board’s decision, as and when it is taken.
7. Standard Bid Document (SBD) for co-branding of railway stations is enclosed. Further, railways may incorporate terms & conditions depending upon station specific aspects related to safety, aesthetics, geographical & other conditions, as deemed fit.
8. This issues with the approval of Chairman & Chief Executive Officer and Member, Operations & Business Development, Railway Board. The attached Standard Bid Document is duly concurred by Finance and Accounts Directorates and vetted by Legal Directorate of Railway Board.
Executive Director/ Traffic Commercial (G)