IMPACTS OF INTRUSION OF TRUCKS IN URBAN...

Anvi Maniar

Centre of Excellence in Urban Transport( CoE-UT),CEPT University

Prof. Shivanand Swamy

Understanding Freight Transport

Urban Freight Transport Impacts

- Indirect

- Direct

Aim and Objectives

Framework of Study

Freight generators

Freight Movement Patterns

Urban freight Routes and Time Restrictions

Freight Vehicular Flows & Commodities

INTRODUCTION

FREIGHT INAHMEDABAD

Area wise Freight Movement Characteristics

RESEARCHFINDINGS

Transporters: Excess Costs- Survey- Data Analysis- Inferences Distributors: Excess Costs

- Survey- Data Analysis- Inferences

CONCLUSION &RECOMMENDATION Conclusion & Way Forward

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UMI Research Symposium ‘13

Understanding Freight Transport Urban Freight Transport Impacts

- Indirect- Direct Aim and Objectives Study Framework

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Understanding Freight Transport

(indiatransportportal.com, road-freight-initiatives)


Urbanisation: essential to most nations’ development towards a stronger and more stable

economy.

With rising urbanisation, cities expand: resulting alteration in pattern of distribution of

people lead to increased service activities as well as vehicles and their movement.

Supported by expanding the transport networks, ensuring provision of desired connectivity

for the people.

City efficiency depends upon effectiveness of its transport systems: efficacy with which

people (passenger) and goods (freight) are moved throughout the city.

In India, in 2004-05, freight traffic accounted for 21% (1020 billion ton-km) and

passenger traffic for 79% (3882 billion passenger-km) of road space use.

The activities related to production, transportation and delivery of goods, in an efficient

and time- bound manner : Logistics

Business related activities are located in and around city areas, generate and attract

considerable volumes of freight and hence, its movement.

Movements of goods concerned with activities of delivering and collecting goods in town

and city areas that are affected by particularities associated to urban traffic and morphology:

Urban Freight Transport

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Large presence of freight vehicles in urban areas results in serious impacts- to stakeholders as well as

society, measurable in terms of direct and indirect costs.

Impacts of public interest: Indirect costs

Indirect or external costs are not usually reflected in the prices of goods and services, and may not

be taken into consideration in the planning and management decisions of the businesses and

consumers, hence are borne by the society.

Accidents & Safety ConcernsEnvironmental Impacts

Informal Transport Centers (co-ordination problems,lack amenities)

Congestion, Conflict between Freight & Passenger Traffic,Traffic Issues

Negative Impact on HistoricalPrecinct

Access Restrictions

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Large presence of freight vehicles in urban areas results in serious impacts- to stakeholders as well as

society, measurable in terms of direct and indirect costs.

Impacts to stakeholders: Direct costs

Direct costs to the stakeholders or users of the industry are substantial.

Freight transport costs are influenced by location of freight generating activities vehicle carryingthe goods and the distance between the source and destination.

Impacts to stakeholders under study, are in terms of excess costs.

Excess cost refers to the portion of the total transport cost, incurred to the transporter when

travelling in city areas and affected by the characteristics of urban areas and traffic therein. It is overand above the base cost (fixed cost+ variable cost).

These costs arise as an outcome of waiting due to entry restrictions, traffic and congestion,

searching for parking spaces etc. The resulting excess consumption of fuel and maintenance requiredalso add to costs. Fines/ bribes are also accounted for, in these costs.

Excess costs are to be compensated to transporters by distributors, and are ultimately borne by

consumers through prices of commodities.

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Urban freight generators are the consolidated or individual endpoints that generate or receive freightflows.

Key points of production, consumption, or intermediate handling for goods.

Freight Generators

FreightGeneratingActivities

Manufacturing

Distribution

Storage

Distribution from place of manufacture to consumersthrough Wholesale, Semi wholesale, Retail

Temporary or long term holding of materials orgoods in godowns/warehouses

Production of goods in plants or factories

They occupy space and attract large/ small goods vehicles.

Their distribution determines the freight vehicle movement within the urban areas.

Location of activities is a result of historical development process.

Suitability of each location with respect to land use changes over time with new development.

As cities expand, industrial/ commercial activities on peripheral areas come within jurisdiction ofurban areas. This causes them to conflict with urban area activities, resulting in unfavourable impactsto both- society and stakeholders.


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Aim & Objectives


The study aims to understand features and functioning of freight generating activities in order to

assess the resultant impacts and its influencing factors to be able to offer solutions.

To assess the impacts of intrusion of trucks and freight vehicles in the urban areas, in terms of

excess costs to transporters and distributors.

To analyse the dependence of urban freight transport costs on:

Degree of penetration of freight into the city

Distance travelled (source- destination)

Type of vehicle

Review: Urban

Freight

Transport in

Ahmedabad

Understanding ofImpacts on

Stakeholders:Excess Costs

Data Collection:

Primary Surveys

& Interviews

Data Analysis:

Cost Calculation

and Inferences

Conclusion &Recommendation

Freight movementpatterns

Stakeholders

Vehicular flows &commodities

Location/character: freight

generatingactivities

Impacts on thecity

Location/functioning of

mainstakeholders:transporters &

distributors

Impacts onstakeholders:Excess costs

Field surveys &stakeholder

interviews in citycenter,

intermediary &peripheral areas

Survey fortransporters on

basis of triplength, vehicle

size, cost range

Transporters’ costsbased on time loss,

fines, fuel,maintenance

Dependence ofabove factors

studied

Distributors’ costsbased on transportcost, product cost,

labour cost

Survey fordistributors on

basis of pattern offunctioning

Inferences,concludingremarks &

recommendation

Aim

Objectives

Study FrameworkIM

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Freight Generators Freight Movement Pattern Urban Freight Routes and Time restriction Freight Vehicular Flows and Commodities


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Freight Movement Pattern

The urban freight movements are classified as follows:

External Flows (External – External (E-E)):origin and destination ends outside the urban/study area.

Inter Urban Flows (External –Internal (E-I)/ Internal- External (I-E)): either origin or destination outside the

urban/study area

Intra-Urban Flows (Internal-Internal (I - I)): either origin and destination within the urban/study area

Urban Freight Routes and Time Restrictions

Time restrictions for access of heavy

vehicles: policy measure to relieve congestion

and improve safety

City traffic police regulate restrictions on

hourly periods of vehicle movements.

Restriction based on permission of freight

vehicles greater than 3.5T i.e., Heavy

Commercial Vehicles.

No restrictions on the movement of Light

Commercial Vehicles.

Allowed 12.30pm to 4 pm

9am to 9pmrestriction

No Restriction

Ahmedabad Freight Routes and Time Zones UMI Research Symposium ‘13

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Freight Vehicular Flows and Commodities

Depending on distance travelled, i.e., trip length, origin and destinations of the trucks classified as:

Short-haul traffic: origin/destinations within the district

Medium- haul traffic: origin/destination in places other than Ahmedabad district but within the state of Gujarat

Long- haul traffic: origin/destination outside Gujarat

Total volume of daily freight movement: 77,019 T

Road traffic: 80% i.e., 61,616 T

No. of vehicles: 34,381

Inflow- 34%, Outflow- 29%, Through traffic- 37%

E – E(nos.)

E – I(nos.)

Total(nos.)

%

Ahmedabad District 1,719 13,599 15,318 45

Within Gujarat 6,782 6,650 13,432 39

Outside Gujarat 4,312 1,319 5,631 16

Grand Total 12,813 21,569 34,381 100

Goods Vehicular Flows

2 - Axle44

3 - Axle15

MAV4

LCV36

Freight Vehicle Composition

Commodity Share

13 5

14

5244

789

29

Foodgrains

Mining products

Construction material

Chemicals

Animals

Oil/ Gas/ LPG/KeroseneAgricultural produce

Other industrial goods

Consumer goods

Textiles

Others(Data Source: India, CEPT (2006), Interim Report for Transport Nagar:Ahmedabad,India, Centre of Excellence- Urban Transport, CEPT (2012), InterimIntegrated Mobility Plan: Ahmedabad) UMI Research Symposium ‘13

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Locations of Freight Generators

Total number: 29,000.

Located predominantly in:• Centrer: Madhupura, Kalupur,Jamalpur (transporters)• South-west: Aslali, Sarkhej, Narol(transporters and warehouses)

Jamalpur accounts for 3.6%, Kalupuraccounts for 3.2% and Madhupuraaccounts for 1.4%, whereas Narolaccounts for 2%, Sarkhej, 3% and Aslali6.4% of the total volumes for the city.

Total number: 55,000.

Located predominantly in:• East: Naroda, Vatva, Odhav

Naroda accounts for 1.8% Odhav for0.7% and Vatva for 1.9% of the totalvolumes for Ahmedabad.

Over 200,000 trade centers spreadall over the city.

Main concentration in:• Center: Madhupura, Kalupur,Jamalpur

Jamalpur accounts for 3.6%, Kalupuraccounts for 3.2% and Madhupuraaccounts for 1.4% of the totalvolumes for the city,


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Area wise Freight Movement Characteristics

Surveys

Transporters: Excess Costs

- Data collection: Survey

- Data analysis: Excess cost computation

- Inferences

Distributors: Excess Costs

- Data collection: Survey

- Data analysis: Excess cost computation

- Inferences

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Area wise Freight Transport Characteristics


Old city of Ahmedabad Monuments and historic precinct Major markets for cloth, foodgrains and agricultural products, wood and

wood products and other miscellaneous smaller markets and shops Traditionally established, function in co- ordination with transporters and

brokers in the area Proliferation of commercial/ industrial activities High traffic density, inadequate road space, lack of parking space Access restrictions Congestion Space crunch Waiting Fines/ bribes Dealers store goods in the shop godowns due to convenience Duplication of movements

City Center

Intermediary Areas

Formerly out of city jurisdiction, now within limits Over 2000 godowns and transporters’ offices Stagnated growth Access restrictions Congestion Transshipment vs. waiting Thefts Fines/ bribes Duplication of movements

Peripheral Areas

Out of city jurisdiction, tax and duties exempted

Over 500 godowns and 800 transporters’ offices

Overall better facilities and scope for development

Transshipment vs. waiting

Thefts

Fines/ bribes

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Transporters

Data Collection

Average number of trips/ month

Average trip length (km)

Average loss to transporter/ day lost for a vehicle (Rs.)

Time loss / trip (hours) due to

- Access restrictions

- Congestion delay

- Waiting/ searching for parking/ loading space

- Waiting for return consignment

Excess costs/ trip (Rs.) due to

-Time loss

- Fines/ bribes

- Excess fuel utilisation (due to urban travel)

- Excess vehicle maintenance (due to urban travel)

Average number of trips/ month

Average trip length (km)

Average loss to transporter/ day lost for a vehicle (Rs.)

Time loss / trip (hours) due to

- Access restrictions

- Congestion delay

- Waiting/ searching for parking/ loading space

- Waiting for return consignment

Excess costs/ trip (Rs.) due to

-Time loss

- Fines/ bribes

- Excess fuel utilisation (due to urban travel)

- Excess vehicle maintenance (due to urban travel)

The parameters considered for calculation of excess

costs based on the surveys are as given below.

The excess costs are estimated and

classified on the basis of the following:

These costs are estimated, and classified

on the basis of:

Trip length: Long distance (outside

Gujarat), medium distance (within

Gujarat), short distance (in and around

Ahmedabad)

Type of goods vehicle for each trip

length type: LCV, HCV, MAV

Cost range for each vehicle: High,

medium, low

These costs are estimated, and classified

on the basis of:

Trip length: Long distance (outside

Gujarat), medium distance (within

Gujarat), short distance (in and around

Ahmedabad)

Type of goods vehicle for each trip

length type: LCV, HCV, MAV

Cost range for each vehicle: High,

medium, low

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LongDistance

Mediumdistance

ShortDistance

Distance (km) 1800 400 40-60

Duration (days) 6-10 3-6 >1

Based on costs calculations, costs for transporters in

periphery are lowest.

The total excess cost per trip (in Rs.) and proportion of

excess costs for transporters in the city (intermediary and

central areas) considering costs at periphery, are as follows:

LCV/ HCV: Longer waiting periods, congestion, fines that result in excessive costs. Greater distance travelledadds to costs.

MAV: Waiting due to access restrictions and for return consignment add up costs for the transporters in Narol.Substantial addition to the costs is also due to fines/ bribes and fuel.

Cost incurred by transporters in city center is the highest.

Access restrictions, greater distance travelled.Congestion: Higher waiting time, fuel usage, wear and tear.

Local deliveries: no waiting for return consignments, and most vehicles used are light vehicles.

LCV: Not subject to the access restrictions but with time loss due to congestion and vehicle costs due to urbantravel constitute a major portion of the total excess costs.

HCV/MAV: Used for longer trips/ higher volumes. Access restrictions, congestion, fines add to costs.Fewer trips possible, hence cost per trip is high.

Data Analysis & InferencesIM

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Cost to transporters: Excess costs per trip


Data Analysis & Inferences- Excess Cost Composition

0

200

400

600

Accessrestrictions

Congestion Searching forparking/

loading space

Waiting forreturn

consignment

Fines/ Bribes Fuel Maintenance

435 410

230

435 486333

230

404 377

215

566 512377

242

City Center Intermediary areas

0

10

20

30

Accessrestrictions

Congestion Searching forparking/

loading space

Waiting forreturn

consignment

Fines/ Bribes Fuel Maintenance

17 169

17 1913

915 14

8

2119 14

9

City Center Intermediary areas

Inferences

Thus, excess costs for transporters increase in direct proportion to level of penetration

inside the city, in most cases. Also, the transport costs are directly proportional to the

distance travelled, as is observed in all cases.

Long standing presence in the old city, hence, having acquired clients, makes it difficult

for the transporters to move out towards the peripheral areas, though the convenience may

be higher and costs lower.

Also, they work in harmony with the surrounding markets so they would continue from

function as they do now.

However, the movement of freight vehicles causing pollution and congestion have harmed

the historic feel that the old city has been so renowned for, and should be given attention.

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Aver

age

exce

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ost

com

posi

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(Rs

.)Av

erag

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cess

cos

tco

mpo

siti

on (

%)

Distributors

Data Collection

The parameters considered for calculation of excess costs based on the surveys are asgiven below.

Average number of distributors in the market

Functioning pattern of the market

Average costs to the transporter

Average cost of transportation/ unit of commodity in Rs. in city center as

well as city peripheral areas

Labour handling cost in Rs.

Cost of commodity in Rs.

Profit margin of distributors in Rs.

Transhipment costs for goods unloaded in peripheral area in Rs.

Average number of distributors in the market

Functioning pattern of the market

Average costs to the transporter

Average cost of transportation/ unit of commodity in Rs. in city center as

well as city peripheral areas

Labour handling cost in Rs.

Cost of commodity in Rs.

Profit margin of distributors in Rs.

Transhipment costs for goods unloaded in peripheral area in Rs.

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Data Analysis & Inferences

Given below is an illustration of cost to distributor availing delivery in city center and

periphery, along with transshipment cost.

The cost is for a particular commodity, brought from 600 km distance in 16T vehicle.

Distributors’ Cost in City Center Unloading In City Unloading in

Peripheral Area

Avg.Transport Cost/ quintal (Rs.) 120 120

Labour/ quintal unloaded (Rs.) 70 70

Total Transport cost(Rs.) 20,320 20,320

Transshipment - 30

Actual Total Transport cost for delivery in the

market in city(Rs.)

21,400 25,120

Total Transport cost/kg (Rs.) 1.26 1.57

Cost price/ kg (Rs.) 70 70

Selling price/ kg (Rs.) 85 86

Costs to Distributors: Delivery at Periphery vs. City Center

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Data Analysis & Inferences

The cost per unit for transport of commodity is lesser by a small margin for the

distributor when delivered directly into the market. So, for the distributors in the

intermediary and peripheral areas, the profit is of similar value to that of distributors in

the city.

Distributors prefer to avail the delivery directly at their godowns in the market, as

opposed to unloading elsewhere and having to undertake transportation of the goods

twice (convenience and as practiced since decades).

Of the total volume of goods entering the city markets, significant volumes distributed

out of city (40-60%).

Duplication of movements add to traffic, environment, safety issues in the city.

Rising traffic deters customers from going to markets in city.

Peripheral areas have better facilities and infrastructure, and scope for future

development.

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Transport costs are a function of the level of penetration of freight into the city, the distance

travelled (between source and destination), as well as the size of the vehicle used.

Overall, freight transport costs for transporters located in the city center are the highest, and on

the periphery are the lowest.

For the distributors in the intermediary and peripheral areas the profit is more or similar to that

of the distributors in the city.

The existing trade in the city center is low value business, considering the high land prices in this

area.

Also, existing space is inadequate for markets and the associated movement of freight and

vehicles within the city.

Based on the study, it may be inferred that the freight generators within the city i.e., the

markets located in the city center, are unsustainable.

The impact of these commercial activities results in huge social costs for the city.

Heritage value of the old city is deteriorating, with the large markets, numerous people and

vehicles, and all the resulting chaos.

Quality of life has degraded, and the historic value of the area is lost.

Freight traffic is contributing to the congestion, pollution and safety issues significantly.

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MARKET RELOCATION

Relocation of markets from the city center is the recommended action.

All wholesale trade centers in old city, with transporters and brokers to be moved to an alternativelocation.

Reduction in intrusion of trucks inside city drastically, actual volume of goods required for consumptionwould enter city.

Government Intervention

All users of markets would be made to relocate, hence equality while establishing trade at new place.

To make this practically possible, Government would be required to take initiative and facilitate thechange, making the shift easy.

Examination of temporary costs of shifting would need to be undertaken.

An alternative location would have to be finalised, depending on zone of service and influence onneighbourhood areas, keeping in mind needs of market and its users.

Location must have adequate infrastructure and services for users as well as the customers.

Stakeholders must be offered initiatives so as to encourage them into accepting the proposalpositively.

Good connectivity of market with major areas of the city must be ensured, for smooth flow of goodsand services.

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IMPACTS OF INTRUSION OF TRUCKS IN URBAN...

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