With reference to bio-toilets used by the Indian Railways, consider the following statements:
1. The decomposition of human waste in the bio-toilets is initiated by a fungal inoculum.
2. Ammonia and water vapour are the only end products in this decomposition which are released into the atmosphere.
Which of the statements given above is/are correct?

The correct option is Neither 1 nor 2.

Let us analyze each statement step-by-step to understand why both of them are incorrect:

1. Statement 1: "The decomposition of human waste in the bio-toilets is initiated by a fungal inoculum."
The decomposition of human waste in the bio-toilets used by Indian Railways is carried out by an anaerobic bacteria inoculum (commonly known as anaerobic microbial consortium), not by a fungal inoculum. These anaerobic bacteria survive in the absence of oxygen and efficiently digest organic waste. Therefore, Statement 1 is incorrect.

2. Statement 2: "Ammonia and water vapour are the only end products in this decomposition which are released into the atmosphere."
The anaerobic digestion process inside bio-toilets converts human waste mainly into gases like methane (${\mathrm{CH}}_4$), carbon dioxide (${\mathrm{CO}}_2$), and water ($H_{2}O$). Small amounts of nitrogen gas or other gases may also be produced, but ammonia and water vapour are not the only end products. Methane and carbon dioxide are the primary gaseous products. Thus, Statement 2 is incorrect.

Since both Statement 1 and Statement 2 are incorrect, the correct option is "Neither 1 nor 2".