8/13/2019 1375696999445-Complete Report

1/40

Focus on Growth & Opportunities for

Indian Railways

An Assessment of Major Transportation Modes

Submitted by :

Ankit RastogiResearch Associate, IRITM, Lucknow

Facilitated by :

Sri Ravij SethFA & Sr. ro!. "Fin. & #, IRITM, Lucknow

8/13/2019 1375696999445-Complete Report

2/40

Sometimes feels, its too much now..... Struggling with same challenge daily while travelling from

home to office and from office to home. It similar to the winning a war, really trust me!! First you

have to check the local conveyance to reach bus stop, railway station or metro station, airport. Then

you have to clear the hurdle of getting ticket at right price. Then finally you get chance to sit on your

seat, dont remember to shareadust your seat with other passengers. So do I really got that , for

what I struggle an paid appropriate fare charges. Somehow if you manage to adust with

environment, then most of the time that particular mode of transportation is going to be delayed by

new reasons. So if you have to travel "#$"% km, then you have to keep #& hours apart from your

scheduled work. 'ut we irritate at that moment and after some time forget about it. I think we are

very adustable by nature so we manage each and every time and it becomes a habit of us.

(e are &nd

largest country by population and ne)t big economic power in the world. These all big

achievements ust give few minutes satisfaction but not the permanent solution of this particular

issue. *very time when people think to travel from one destination to another, they become

horrified by ust thinking of that. *ither they wish to travel in the vicinity or to travel far away they

have to consider lots of factors. The primaryfactors considered by every travellersuch as getting a

confirm ticket according to their plan, getting a conveyance to reach the appropriate starting point

and on time. They also have additional concerns about their ourney like Safety, Timely, *conomical,

*fficient, Safe, +eliable, environment friendly and regionally balanced transport system and so

on.This paper features analysis on the key developments and opportunities across various modes of

transportation including road, rail, air, ports and water which could rightly be termed as Focus

on -rowth /pportunities for Indian +ailways. In this conte)t, I have researched the potential

proects and trends imperative to reali0e an efficient, effective, lean and reliable Indian

transportation network.

In present days it becomes very veryhard to take care all of these factors under consideration and

we all are compromising with the present situation. 1ll these issues are present with all maor

transportation modes whether its a +ailway...the heart line of the country, +oads....connecting the

dots or 1viation.... lets fly efficiently. (e all have encountered these problems at least once in our

life time... I know lots of you will agree with me.

It2s surprising me that, when we have great policies, better technology and huge man power, so why

we are lacking in the transportation area. The Transportationcomes under the Infrastructure sub $

sectorof Service sector. 1nd agree with you that it re3uires enormous investments. Since

governments is lacking on this front so they embraced the 444 model for fast development of

infrastructure. 5nder 444 mode there is a lot of proects are done many are under progress. The 444

mode gives win $ win situation to both of the parties ie. for government and private players.

8/13/2019 1375696999445-Complete Report

3/40

'ut e)cept 444 still there is a lo

far behind in this sector in comp

we are the fastest growing coun

worry in India, as international

growth. Infrastructure is also b

are having an impact on the inf

and also specific sectors such

slowdowns in larger and more d

There is great need of better

growing population, urbani0atio

1ny updown movement in the

the nation. Infrastructure dev

prosperity. The development o

culture. 7ence, the importance

diverse8 it serves the need of bil

-94 in the figure :";.

The vision of the twelfth five ye

Sustainable, Economical, Efficie

transport system.onventional economic ev

ents tend to focus on the direct costs and benefi

travellers, cost savings for operators, and reduc

ation sector. (e are

ountries. In present,

is a maor source of

e hinders economic

d the 5.S. economy

he general economy

lobali0ed country

rts and growth rate.

ns such as very fast

ess to basic utilities.

h of the economy of

ic development and

cial and institutional

rt sector is large and

ution to the nations

ich will lead to a

ionally balanced

are not well

luations of maor

ts arising from

tions in aspects like

8/13/2019 1375696999445-Complete Report

4/40

air pollution, noise, and accidents.The impact in terms of economic exchanges, accessibility, and

productivity gains are expected to be significant, and extend beyond traditional transport savings.

?ow you are e)cited to know the reasons behind these kind inefficient transportation modes. (e

will analy0e the all maor transportation modes with special focus on their passenger and freight

operations, and the current sub sector trends. So before going in details, ust have a overview of all

four maor transportation modes performance.

FDI Flows to infrastructure (US $ million)

Sector 2009-10 2010-11 2010-11Apr-Nov

2011 2012

Air Transort &&.@ "A@.## A".&& &=.%# "A.=&

SeaTransort &BC.D A##.%" "&D.A@ DD.C& A@.&A

!orts @%.C "#.D& #.## #.## #.##

Railwa"Relate#omonents

AC.& =#.@@ C&.== A%."@ "=.=D

Share and Growth of Indias Services Sector (at factor cost) (%)

Transport 2000-01

200-0!

200!-0"

200"-0#

200#-09

2009-10

2010-11

2011-12

$aiwa&s"." #.D #.D ".# #.D #.D #.B #.=

C." =.% ""." D.B =.= B.B %.D =.%

Transport

'& other

eans

%.# %.= %.= %.@ %.% %.A %.A %.C

=.= D.A D.# B.= %.A =.A B.& B.@

Indicators *erforance of Indias service sector

Sector Indicators +nit *eriod200#-09 2009-10 2010-11 2011-12 2012-1,

Aviation

Airline

passengers

(domestic and

international)

8/13/2019 1375696999445-Complete Report

5/40

oparison 'etween .a/or transportation odes

.ode Growin eand pport3nities *oic& S3pport

$aiwa&s

-reater connectivitybetween different cities,

towns and villages has led

to increased road traffic

over the years

There has been increasingmovement of goods within

the country as well

Freight traffic is set toincrease manifold, thanks

to investments and

private sector

participation

8/13/2019 1375696999445-Complete Report

6/40

25 Roads India has the second largest road network in the world :C." million kilometres; +oads bear about D# per cent of the countrys passenger traffic and @% per cent of freight

traffic

*araeters +nit 670, 67 2011

enth of Nationahihwa&s

'm %B,""& =",==&

*assener vehice

saes

=#=,### &,@A,=B=

N:* to coection +S

iion

@C.% CA%

:ihwa& pro/ects

awarded '& N:AI'm

@== @CD"

Share of infrastr3ct3re

in tota 'an8 f3ndin%

&.A "C

,5 Aviation Dth largest civil aviation market in the world India is ranked Cth in domestic passenger volumes :C%.A million; Indias civil aviation market is set to become the worlds Ard largest by India has "A@ airports, "&B of which are owned by 11I

*araeters +nit 67 2000 67 2011

Sched3ed airines

distance fownmn km

"DD =@&

Non-sched3ed airines

in operation&&

AD "A@

N3'er of aircraft && &&% ""BB :"&;

*assener handin

capacit& at airportsmillion

@@ &AA million :"&;

N3'er of operationa

airports&&

%# "&% :"&;

Aircraft oveent 6reiht Traffic *assener Traffic

Internationa airports =D G D@G BCGthers &"G CG "@G

8/13/2019 1375696999445-Complete Report

7/40

Sinificant Governent Spendin n Infrastr3ct3re

The Indian government has earmarked about I?+ %#,### billion according to the HII Five

Eear plan :"&$"=; against I?+ &%,### billion in the HI Five year 4lan :#=$"&; for

infrastructure investment. 1round one$fourth of this investment is e)pected to be in roads,

rail, and aviation and port proects representing a sharper focus on transportation

infrastructure. For e)ample, I?+ &B" billion has been allocated for the &=##km$long

9edicated +ail Freight >orridor proect.

ource Planning *ommission of "ndia, 'P%+ Analysis

8/13/2019 1375696999445-Complete Report

8/40

oparison on ;e& paraeter

ource *ygnus $usiness *onsulting #esearch, 'P%+ Analysis

8/13/2019 1375696999445-Complete Report

9/40

Disaster Risk Sha#ow on !!! !rojects

Few weeks back there was climatic disaster in $ttarakhand and there is debate %oin% on

e'elo(ment )*s isaster mana%ement. So I am includin% this to(ic o! +isaster Risk

Shadow on roects- which %i'es essences o'er the debate to(ic. As all

in!rastructure (roects are now eecutin% throu%h mode, so it is 'ery im(ortant to

minimi/e the disaster results. As we all know that in (roects the %o'ernment has

'ery low control o'er the eecutin% (ri'ate (artners and latter has little interest in lon%

term sa!ety issues o! the (roects. Accordin% to the 0lobal Assessment Re(ort "0AR# on

disaster risk reduction !or Asia (aci!ic, an $1 study noti!ied India that its 'ast

in!rastructure assets e(osed to disaster risk. These (artnershi( (roects trans!er their

shared costs to the (ublic sector as they do not necessarily lead to im(ro'ed disaster risk

assessment and mana%ement. As (er re(ort (roection durin% 12th Fi'e 2ear lan, an

in'estment in in!rastructure de'elo(ment is worth about 31 trillion (ro(erty !acin%

disaster risk !rom unsa!e (ublic assets. The re(ort (uts the estimated e(osure o!

economic assets in Mumbai alone was increased !rom $46billion in 2005to $15!billion

in 20"0.

In the middle and low income countries the e(osure such as urban %rowth, natural and

arti!icial subsidence, sea le'el rise and climate chan%e are likely to rise si%ni!icantly. Its

ad'ised by the $n to the %o'ernment to inte%rate disaster risk in!ormation into

in'estment decisions4 buildin% (ublic (ri'ate risk %o'ernance and disclosin% disaster risks

and costs on balance sheets o! com(anies. The 0AR concerns s(eci!ically in areas o!

S%&s' loalise# Sul" hainswhich enhance the 'ulnerability o! disaster.

8/13/2019 1375696999445-Complete Report

10/40

Railways

8/13/2019 1375696999445-Complete Report

11/40

Spanning 64,456 km with more than 7,133 railway stations, Indias rail network is the largest

in Asia and the second largest in the world (ehind the !S"#$6 %he Indian &ailways operates

1', trains daily, transporting $#65 ))% o* *reight and $3 million passengers across the

co+ntry# owe-er Indias rail in*rastr+ct+re s+**ers *rom chronic +nder.in-estment, d+e to

which its potential *or *reight mo-ement remains largely +ntapped# &ail *reight has grown at

aro+nd 7 / o-er the past *i-e years# It is e0pected to+ch the 1 illion ton mark in $13, with a

31/ share o* total *reight mo-ement across all modes o* transport# %his is in stark contrast to

its share o* '/ in 1'51#2onsidering the re+irements o* the economy and sie o* the

co+ntry, the e0pansion o* the railway network has een inade+ate# Indian &ailways ha-e

added 11,64 km o* new lines since independence#It has not een ale to co-er maor areas

in many states and has -ery little presence in the orth.ast States and the imalayan

region#%he network needs e0tensi-e modernisation, increase o* speeds, impro-ement insa*ety and modernisation o* rolling stock to meet the needs o* a rapidly growing economy#

Indian Railways Financial Position Overview

Source: 12th

Five year Plan Report

%he Indian railways (I&" ha-e consistently lost o+t to road, as the pre*erred mode *or goods

mo-ement across the co+ntry# 8hile tra**ic on rail has grown more than ten*old etween

1'51 and $7, rail track length has only grown 1#4 times d+ring the same period# )oreo-er,

tr+nk ro+tes constit+te merely 16/ o* the network and transport morethan 5/ o* total

tra**ic, res+lting in maor congestion and a low a-erage speed o* $5 km9hr *or *reight trains#$7

8/13/2019 1375696999445-Complete Report

12/40

As compared to gloal standards, Indias track length per s# km# is +n*a-o+rale at 44 km o*

track per 1, s# km# o* arale land, as against 137 km in the !S and 417 km in :ermany#

Traffic

;assenger %ra**ic went +p eca+se o* rising income, +ranisation dri-ing passenger tra**ic

growth# !ran pop+lation in India increased *rom 17#3 per cent o* the total pop+lation in

1'51 to 31#$ per cent in $11< this has led to increase in tra**ic etween +ran and r+ral areas

in the co+ntry# Impro-ement o* +ran.r+ral connecti-ity y rail has een another maor

contri+tor to passenger growth# =+rther, passenger tra**ic contin+es to enoy signi*icant

priority o-er rail *reight# In addition to *irst right o* mo-ement, passenger rates are highly

s+sidied y *reight

operations +tiliing +p to

7$#3/ o* network capacity

+t contri+ting only 3/ to

re-en+e, while passenger

segment acco+nts only *or

$7#7/#

Source: KPMG in India

Analysis

>espite these apparent limitations, rail contin+es to e among the *astest and most

economical modes o* transport *or *reight in India# %wo.thirds o* *reight in India is transported

o-er medi+m and long distances, *or which rail transportation o**ers signi*icant time and cost

sa-ings#

Percentage Share of Rail - Road in Freight Traffic Movement

Source:World

Ban!"""!data#an!"orl

d#an!or$

8/13/2019 1375696999445-Complete Report

13/40

%he capital cost o* setting +p

modes s+ch as e0pressways,

transportation, speci*ically on

other modes# Additionally, rail

%he originating passenger tra*

millionwhich is,3#$/ lower tha

cent higher than the re-ised ta

&ailways are making large re-e

s++ran segments# on.re-isi

I

Infrastructure Caacity Creati

%he le-enth ;lan attempted a

signi*icant in*rastr+ct+re capacit

s+stain moility on the network

the %enth ;lan# %he targets in res

%he e0panding re+irements o* t

along with its aility to carry larg

it *aster and e0pand the network#

o-erall national *reight market#

e0pansion m+st *actor in the *act

will e willing to pay#

%he rail network has to de-elop

ens+re en-ironmental.*riendly an

e prioritised in the importan

stock, last mile rail linkages and

rail capacity is aro+nd 4/ lower than t

hen meas+red on a ton.kilometer asis# =

high.tra**ic density corridors, are consider

**ers speed and capacity.related ene*its#

ic achie-ed in the terminal year o* the le

the original le-enth ;lan target o* ,4

get o* the le-enth ;lan#

n+e losses in passenger tra**ic oth in s++r

ono* tari** *or se-eral years has led to poor

Source: 12th

Five

on

aradigm shi*t *rom the earlier incremental a

addition to handle the +ant+m increase in

y setting amitio+s targets as compared to the

ect o* new lines and electri*ication ha-e een e

Source: 12th

Five

e economy will need m+ch *aster e0pansion o

r *reight per wagon, impro-e e**iciency o* the

%here will also e need to impro-e the share o

ith increasing incomes, passenger tra**ic will i

that demand will e *or etter +ality ser-ices

strategy to e part o* an e**ecti-e m+lti.modal

d economically e**icient transport mo-ement#In

t areas, -i# >edicated =reight 2orridors, hi

port connecti-ity#

at o* comparale

rther, costs o* rail

ly lower than *or

enth ;lan is ,13'

illion +t #75 per

an as well as non.

*inancial health o*

ear plan Report

proaches to one o*

tra**ic le-els and to

per*ormance d+ring

ceeded#

ear plan Report

the *reight network

ail system to deli-er

* the &ailways in the

ncrease +t plan *or

or which passengers

transport system to

-estment needs to

gh capacity rolling

8/13/2019 1375696999445-Complete Report

14/40

India has a well.de-eloped &ail network in dire need o* moderniation and is str+ggling to

increase its highway and e0pressways#

Rationali!ation of Railway freight and assenger fare"

?etween $4.5 and $1.11 the I&s inp+t costs increased y 1#6/ per ann+m# ?+t

passenger *ares remained +nchanged 9 red+ced in lower classes# %his ca+ses constraining

internal reso+rce generation, essential *or replacement 9 renewal o* assets, operation and

maintenance acti-ities and critical sa*ety and passenger amenity works# Also the cross.

s+sidy thro+gh the *reight +siness was no longer *easile eca+se o* *ast e-ol-ing

competition *rom other modes o* transport# @eeping these *actors in mind, an increase in

passenger *ares was anno+nced on ' an+ary $13, e**ecti-e *rom the an+ary $13#

# gradation of Passenger $menities

%o pro-ide the asic *acilities like drinking water, *+nctioning toilets, catering ser-ices, waiting rooms,

dormitories especially *or lady passengers and etter signage, In $' the Adarsh station scheme was

introd+ced# B+t o* identi*ied '76

stations 616 stations ha-e een

de-eloped as Adarsh stations#

%he other initiati-es are, the !%S

was made a-ailale at 1,17$

co+nters (no- C1$", the total

installed AD%)s was aro+nd

(1$.13", the =BIS (=reight Bperation

in*ormation System" and its mod+le

&)S (&ake )anagement System"

was installed at more stations#

High-Speed Passenger Trains

Indian &ailways is adopting a m+lti.

pronged strategy to pro-ide sa*er,

*aster, cleaner, and more

com*ortale passenger trains# Se-en

corridors ha-e een identi*ied *or

cond+cting pre.*easiility st+dies *or

Source: http:%%"""!uic!or$%IMG%&p$%carte'inde!&p$

8/13/2019 1375696999445-Complete Report

15/40

r+nning high.speed trains (pop+larly re*erred to as +llet trains" at speeds ao-e 35 kmph#%hese

corridors will e set +p thro+gh ;;; ro+te# Initially, the )+mai.Ahmedaad corridor has een taken

+p *or which the pre.*easiility st+dy has een completed# 8ork is in progress in respect o* the

remaining corridors# A st+dy is also eing done on the >elhi.)+mai ro+te *or raising the speed o*

passenger trains *rom 16 kmph to $ kmph, i#e# *or r+nning semi.high speed trains#Ma%or trends in Indian Railways

1# %here is a rapid increase in demand *or +ran mass transportation systems in the co+ntry#Se-eral metro rail proects are in progress to impro-e connecti-ity within cities< the >elhi

)etro has emerged as an internationally acclaimed -ent+re#

$# Indian &ailways (I&" la+nched moile ticketing ser-ices in A+g+st $11 to make the ticketiss+ing process more e**icient# !sers can directly +y a ticket *rom their moiles that wo+ld e

deli-ered to them thro+gh a non.trans*erale S)S#3# I& has attracted increasing in-estments *rom o-erseas thro+gh strategic alliances with -ario+s

co+ntries o-er the last *ew years# S+sidiaries o* *oreign companies are eing set +p to cater

to the h+ge demand o**ered y I

4# I& is planning to +ild se-en high.speed rail corridors to pro-ide *aster rail connecti-ity acrossthe co+ntry# %he trains will e capale o* r+nning at speeds +p to 3 kilometres per ho+r#

Modernisation of Indian Railways

%o modernie Indian &ailways, the *oc+s is on two *+ndamental dri-ers . Sa*ety and :rowth and along

a *i-e.pronged strategy

1. )odernise core assets . %hey are keyre-en+e generating assets

2. 0plore new re-en+e models . %o meet the*+nding needs *or modernisation and growth

3. &e-iew proects . %o ens+re *inancial-iaility, social ene*its, and timely

implementation

4. =oc+s on enalers . =or a holistic and longterm approach to modernisation and

e0ec+tion

5. )oilie reso+rces . %o capitalise on anopport+nity

8/13/2019 1375696999445-Complete Report

16/40

Benefits of High Speed Rail...more Sustainable Transportation

Impro-e the economic de-elopment o* the regions ser-ed, increase their competiti-eness andred+ce their peripherallyation in an optim

In India the maintenance of roads is

treated as a non-plan activity and

has, therefore, tended to be

neglected because of financial

resources constraints. :part from

inade?uacy of resources,

management of roads are

unsystematic and inspections are

irregular.

The villages which are connected

economic impacts on villages which

listed below%

Improved connection to the Reducing the time spent in tr Improving villagers access to Improvement in the accessib :ster access to health faciliti 4ecline in infant and child m Improvement in agricultural

This ind of initiative can also be ex

villages.

Trends in the Road Sector

1. 7overnment policy to increainfrastructure industry with

888 model. The type of 888

/) of their total length is wider than two lan

of bypasses, inade?uate capacity, insufficient

dgesCculverts are some of the other deficienci

ined properly to prevent disintegration and de

m manner and road safety of its users.

Lane composition of National Highway

Source: 12th

y 8radhan2antri 7ram adaFo3ana !827F$

indicate multiple benefits generated through

arets

avelling

timely treatment, especially in emergency

ility to education

s

rtality which

roduction, income, employment generation

rcised at country level to maximi>e the benefi

se private sector participation has proved to b

large number of private players entering the

odels used in road pro3ects are G6T toll and G6

23%

54%

23%

L

F

es, leading to heavy

pavement thicness

s. The road networ

terioration, ensuring

(2012)

ive Year Plan Report

have several socio-

it. Hew of them are

for all, similarly lie

a advantage to the

usiness through the

T annuity.

ingle/Intermediate

ane

ouble Lane

our/Six/Eight Lane

8/13/2019 1375696999445-Complete Report

30/40

2. Through # per cent H4I in the roads sector, most foreign companies have formed partnershipswith Indian players to participate in the sector.

3. Infrastructure is the ey to supporting double-digit 748 growth in India during the medium- tolong-term hence the government has made infrastructure development a ey policy issue and

plans to spend J4#." trillion during HF#/-#( on the sector.

4. Through Hive-Fear 8lans, India has increased the length of national highways from +#,/(5ilometres during the late #9"s to (#,((+ ilometres by the end of the ##th Hive Fear 8lan !HF5-

#+$. The 9th Hive Fear 8lan !HF#99(-HF+$ recorded the largest addition to the highway networ

!+/,5#" ilometres$.

National Highways to be constructed under various Five!ear plans

Source: *oistics a%e chaners + ,rans#or%in Indias loistics industr!-'P()

Jntil +1, the road construction maret was dominated by public sector companies. The government

has been eager to involve private sector funding for infrastructure pro3ects and thereby reduce strains on

the budget. The 888 model has emerged as the favoured one for private sector participation in roads

pro3ects. Hrom the investment perspective, a comparison of estimated investments in the road sector in

the Eleventh 8lan !+(B#+$ vis--vis pro3ected investments for the Twelfth 8lan !+#+B#($ indicates a

significant 3ump, approximately +.+-fold.

To encourage private players, the

7overnment has announced several

incentives such as declaring the road

sector as an industry, providing # ) tax

exemptions in any consecutive # years

out of + years, duty free imports of

certain identified construction plants and

Source: .risil report /Private participation in National

Hihwa!s to drive invest%ent in roads& 22 (a! 2012

8/13/2019 1375696999445-Complete Report

31/40

e?uipment, H4I of up to # ), and increased concession periods !up to / years$. 7iven these incentives,

the private sector is expected to fund // ) of the total investment in the Twelfth Hive-Fear 8lan.

Roads are a ma3or user of construction material especially bitumen and asphalt which are nown to

release emission gases into atmosphere. There is need for maximi>ing the investment in RK4, green

technology and design for better and safer roads.

The ma3or reasons behind the higher road traffic are, growth in small and medium enterprises in India,

rising incomes leading to increasing number of vehicle owners, 7rowing movement of goods within the

country due to economic integration, Getter ?uality roads maes road travel cheaper and safer and

Increasing roadways leading to greater accessibility between different citiesCtownsCvillages. The number

of vehicles has been growing at an average of #.#0) per annum over the last five years. This strains the

road infrastructure.Roads traffic share of the total traffic in India has grown from #/.5 ) to 01) in freight

traffic and from #1.") to 9) in passenger traffic from #91# to +##.

The main hurdle in the development of highways at a faster pace is the delay in land ac?uisition and

statutory clearances. In the absence of stronger land laws, land ac?uisition becomes a contentious issue

in a country lie India with a large population. Effective legal framewor and proper execution with

respect to land ac?uisition is needed for a faster development of roads. 7overnment must ensure faster

procurement of all statutory clearances.

Huture prospects remain bright for the roads sector.In future national and state highway pro3ects are

estimated to create an opportunity of J4"#.+ billion and J4 9.9 billion respectively, over next five

years. The Road pro3ects contribute around 0) of 888 pro3ects in the country. To promote this sector,

the government has allowed # ) H4I under the automatic route for all road development pro3ects and

#) income tax exemption is granted for a period of # years.

8/13/2019 1375696999445-Complete Report

32/40

Wat rways

8/13/2019 1375696999445-Complete Report

33/40

Indias 95%by volume and

the sea route. India has a co

has 13major ports (Fig. 1);

the eastern coast and 7 o

western coast. It also has

200 non major ports! in

1/3 are operational."he I

Water "ransport (IW")

interface between maritim

rail and road transport. #

2011-12, 60$ and 40$ omaritime cargo were handl

major and non% major

respectively.

The aviation sector is stru

for survival, while roadway

railways are bleeding the tre

dry. Inland navigation

economical and environment

The Three waterways that ha

(a) Allahabad-Haldia stretc

declared National Waterway-

(b) Sadiya-Dhubri stretch (

Waterways- II in &e%tember,

(c) Kottapuram-Kollam stret

canal ("' #ms) and dyogm

+ebruary, "!!*.

&s we seen the aviation se

transportation are bleeding

support from government!

0%by value global merchandise trade is c

ast line of 7,517m with two basic catego

6 on

the

bout

hich

land

form

and

uring

thed by

ports

gling

and

asury

is

-friendly.

e been declared as National Waterways are

(" #ms) of anga-$hagirathi-/ooghly

I in 0ctober, "!.

!" #ms) of the $rahma%utra river was

!.

h (" #ms) of the West 1oast 1anal alon

andal canal (* #ms) was declared Nation

tor is struggling for endurance! whereas

the capital dry. 'ut due to lac of lon

inders the growth of inland waterways. I

arried out through

ries of ports. India

:

river system was

declared National

with 1ham%a#ara

l Waterways-III in

railways and road

g term vision and

t is ironical that in

8/13/2019 1375696999445-Complete Report

34/40

spite of being economical! e

sector remains underutilised

Traffic and Capacity at P

"he capacity creation for ma

only 689.83" was achiev

36.67$."he capacity of min

228.31" to 557".

"he traffic handled by majo

lower than the projection by

07 with the growth of 29.

186.11" in the year

200

growth of 98.81$ and also h

Cargo Traffic

&ccording to the 12th Five

meet the projected traffic

815.20 ") by the end of

sector is predicted to be 22

").

0

100

200

300

400

500

600

Major Po

CargoTraffic(MMT)

FY 07

ficient and environment friendly! the inla

.

orts

jor ports during year 2011-12was project

d. "his shows the increase in the capacity

r ports and private ports was envisaged

r ports in financial year 2011-12 was 56

26.55$ but increased from 463.78" of fi

8$. &t the minor ports traffic handled w

-07 to

37.00 " in the year

2011-12!

gher than the projection of 23.26$.

Source: Ministry of Shipping, India Brand Eq

ear plan! the capacity and "raffic is nee

of 1758.26 " (major ports% 943.06 "

2th five year plan (2016-17)! the total ca

9.04" (major ports% 1229.24" and mi

FY 07

FY 08

FY

ts

Non Major

PortsFY 08 FY 09 FY 10 FY 11 FY 12

d water transport

d 1001.80" but

of major ports by

to increase from

.12" which was

ancial year 2006-

as increased from

thus registering a

ity Foundation

ed to e*pand. "o

and minor ports%

pacity of the port

or ports% 1059.80

9

FY 10

FY 11

FY 12

8/13/2019 1375696999445-Complete Report

35/40

Capacity Addition

At Major

Ports +*isti(2011-

Total 560.

Capacity by the end of 12t

Major

+*isting(2011-12)

Total

Coodity689.83

Major Trend in the W

0

10

20

30

40

50

60

FY0!

58!

CapacityAddition

(MT)

&ource:

Traffic (MT) Capa

g12)

Forecast(2016-17)

+*isting(2011-12)

5 943.06 689.93

plan

orts Minor Ports

Forecast(2016-17)

+*isting(2011-12)

Forecast(2016-17) (2

1229.24 544.65 1059.80 1

aterways Transportation

FY07FY08

FY09FY10

"8#

$!%

"$! "$

inistry of &hi%%ing,

ity (MT)

Forecast(2016-17)

1229.24

Total

*isting011-12)

Forecast(2016-17)

234.48 2289.04

8/13/2019 1375696999445-Complete Report

36/40

&s shown in above graph! t

average turnaround time is

entrance path."here is an im

" in year 2006-07to 10,9

Indian ports around 57$

#etention trendis only one t

"he other important trend

Increasing Private Particip

Model. 'ecause of favou

encourages both the invest

investing in port logistics

government has shifting fr

services) to a /Landlord P

while port operations are d

0hennai! 1isahapatnam an

"enefits of #ater$ays Tr

Efficient and Economic:

"he cost of infrastructure d

roadways. &s per r. ,

+conomics! 3niversity of

than that of roadways. 4an

building a road or a railway li

"he fuel used in waterways

would carry about 105tonn

200!%07 2007%08

97&' 10071

()!2()9(

10)0' 11)&

A&era'e (re-berthin'

A&era'e )utput per sh

&ou

at there is improvement in turnaround ti

influenced by feature such as si5e of parc

provement of average output per ship be

7" in year 2011-12. #ue to port associ

f turnaround time of ships is delayed.

at continuous shows the increasing style.

s seen in this sector is ,etting up of

tion, Specialist Terminal ased Ports a

rable investment condition and strong

or! i.e. rivate and Foreign. "he private

services. Further! to attract private

om the /Service Port6 model (port aut

rt6 model (port authority acts as a regul

ne by the private companies)."he major p

"uticorn are e*ample of this reformed.

nsport

evelopment for IW" sector is also very lo

riraman of Walchand 2irachand rofe

mbai. , #andapat! chief engineer! IW&I. It

ac9uition cost accounts for : per cent

ne.

transportation is diesel. &s per the study!

s over a ilometre through waterways!

2008%09 2009%10 2010%11

10&7(10&82 107('

()87

&)&2 &)!7

9)''11)7' 11)7!

etention Time A&era'e Turnaround T

ip berth days ce: "

th+ive 3ear 4lan,

e in 2011-12. "he

l! cargo type! and

th day from 9,745

ted inefficiency at

"he re%berthing

port based ,+-s!

nd Landlord Port

growth potential!

layer aggressively

investments! the

hority provide all

ator and landlord

orts such as 78"!

as compared to

sor of "ransport

is 5 to 10per cent

f the total cost of

one litre of diesel

5 tonnes through

2011%12

109!7

&)&&

11)1&

ime

8/13/2019 1375696999445-Complete Report

37/40

railways and24tonnes throu

comparisons into monetary

Affordable:

"here was a2012report! by

under the 8ational "ranspo

0ommission. It highlighted tthrough waterways would c

0.50and

8/13/2019 1375696999445-Complete Report

38/40

Conclusion

Efficient mobility of people is one of the key factors for the progress and prosperity of a society and

a nation. Public Transport services play a major role in reducing the poverty and keeping deprivation

at check in rural areas. Apart from offering the rural population a viable and convenient way to

market their agricultural produce, it also enables them to access other sources of income such as

engagement in informal services in nearby urban nodes and formal employment in manufacturing,

food processing, transport and other industries, etc. Certain inherent characteristics of the us

transport system make it the ideal mode for meeting the huge and increasing demand for passenger

transport services. us transport makes the most optimum use of the available road space and fossil

fuel by transporting the ma!imum number of people per unit of road space. "n an average, a car

consumes nearly # times more energy than an average bus, while two wheelers consume about $.%

times and three&wheelers consume '.( times more energy in terms of per passenger km.

The transport sector of )ndia is facing several challenges which can be taken as opportunities to

overcome from them and make )ndia leader of this sector in the group of developing countries. The

challenges are,

Congested and inefficient ports, *evere capacity constraints facing by +ailways, Airport infrastructure is strained, interland connectivity by different modes of transport +oads are congested and poor in -uality

rom the below given table we can see that government of )ndia heavily in all major transportation

modes.

Ministry /Department wise 12th

Five Year Plan Outlays for Transport Sectors

*ource/ 0$th

ive 1ear Plan

Way forward

E!panding construction capacity& construction industry capacity already overstretched&-uality, price affected

)mproving Contract 2anagement& on average publicly financed road construction contractssuffering 3%4 cost over runs

Ministry GS Outlay !"#

2inistry of +oad Transport 5

ighways

0''(#6 #'73'

2inistry of Civil Aviation 0#673 0#$0%

2inistry of +ailways 06'$$0 $$%888

2inistry of *hipping #6#8 $0668

8/13/2019 1375696999445-Complete Report

39/40

Poor -uality of designs 9and ac-uisition Tariff :pricing policy 2ulti modal connectivi

transportation modes. )

ocus on high&growth punderutili

8/13/2019 1375696999445-Complete Report

40/40

Bibliography

1. Twelfth Five Year Plan(20122017)-!ono"i! #e!tor$% &ol ''% by o'2. 'nia Bran *+ity Fo+nation (,ar!h 201)%. /eport on ogi$ti!$ ga"e!hanger$ - Tran$for"ing 'nia$logi$ti!$ in+$try by P,%3. ing 4heel$- 'nve$ting in the 'nian tran$portation 5 ogi$ti!$ 'n+$try by P,%6. 8 web$ite9. :at+ral highway$ p+bli$he in own to arth7. 'nian /ailway$ web$ite;. The /oa hea highway$ PPP in 'nia