railways presentation

8/3/2019 Railways Presentation

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Opportunities for

Public-Private Partnerships inRailways

20th May 2006


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Background

High Growth Rate of Economy will generateHuge Transportation Demand

Pressure on existing Rail Network calls for

Expansion of Capacities Reducing cost of operation will require keeping

pace with Technology

Capacity generation and Modernization will

require Mobilization of Huge Funds

More than Rs. 47,000 Crores required tocomplete almost 240 sanctioned Projects


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Public Partnership in Rail Infrastructure

Projects

Background State Government offered Financial

Participation Navi Mumbai connectivity through CIDCO in1986

Creation of Konkan Railway Corporation in1990 with State initiatives

Sub-urban Projects in Mumbai, Chennai andKolkata


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Participation of States through SPVfor financing Projects Karnataka

K-RIDE HMRDC

Maharashtra MRVC

Gujarat Kutch Railway Company

Public Partnership in RailInfrastructure Projects


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Cost sharing in Rail InfrastructureProjects

Jharkhand -6 projects

Karnataka -3 Projects Maharashtra- 3 Projects Tamil Nadu- 3 Projects West Bengal-1Project

Andhra Pradesh- 1 Project Haryana- 1 Project

Public Partnership in Rail InfrastructureProjects


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Rail Projects through PPP

Surendranagar-Pipavav Gauge Conversion(PRCL)

Pipavav Rail Corporation Limited Connectivity to Pipavav Port

Gandhidham-Palanpur Gauge Conversion(KRC)

Kutch Railway Company Improving Connectivity to Mundra & Kandla

Port


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Recent Initiatives Private parties to run container trains

Wagon Investment Scheme

Development of Rail-side Warehouses &Logistic Parks

Strengthening Rail Port Connectivities

Development of Dedicated FreightCorridors


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Private Operators for Container

Operation

Sector Opened in 2006

Licenses offered for various corridors(Exim & Domestic) to 14 players

Rs 540 Crore generated as fees

Generation of Terminal & Wagon

Capacity ROR of approximately 20% for investors


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Wagon Investment Scheme Launched in 2005-06

Wagon procurement

Guaranteed supply of rakes forloading

10% rebate on freight charges

Rs 250 crore generated from 25

Rakes


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Development of Rail Side Warehousing

Door-to-Door service

Land at nominal fees by Railways

5% minimum revenue to be shared withRailways

Lease period 30 years

MoU with CWC has been signed to set uprail side warehouse at 22 locations.Agreement finalised for 10 locations


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Development of Logistics Parks

Objective:

Complete logistics solution

Reduction in Door Bridging Cost

Development of multi-user/ multi-commodity railhandling and warehousing facilities

State Government are invited to participate in the

venture


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Port Connectivity Works

Rail Connectivity provided to Mundraand Pipavav Port

Connectivity Strengthened forMundra , Kandla and Mangalore Port

Strengthening / New PortConnectivity through SPV routebeing explored for Paradip,Krishnapatnam, Dahej and HaziraPorts by RVNL


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Dedicated Freight Corridors

Capacity Augmentation considering growth inContainer ,Coal, Iron &Steel

2700 km Corridor on Eastern & Western Routeswill cost Rs. 22,000 Crore

Incremental Traffic of 97 million tonne and 4million TEU projected by 2021-22 on both

corridors


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Traffic Projections

Route 2004-05

(MillionTonnes)

2021-22

(MillionTonnes)

Incremental

(MillionTonnes)

Eastern 56

(32Trains*)

137

(89Trains)

81

(57Trains)

Western 17 33 16

Container onWestern Route(Lakh TEUs)

5

(15Trains**)

46

(70Trains)

41

(55Trains)

*Trains indicated each way.

**Trains on Western Corridor is inclusive of Bulk and Container


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Feeder RouteMain Route

Dedicated Freight Corridor Ludhiana-Son Nagar

Asansol

Bondamunda

Tata Nagar

Durgapur

Mughal SaraiAllahabad

Kanpur

Tundla

Khurja

Hapur

Meerut

Saharanpur

Ambla

Ludhiana

Son Nagar

Gomoh

Unchahar

Katni

Nagal Dam

Chandigarh

Panipat

Harduaganj

Paricha

Amritsar

Bhatinda

with Extensions to Durgapur/Bokaro/Tatanagar

Legend:


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PROPOSED FREIGHT CORRIDOR (WESTERN)

LEGEND :-

MAIN ROUTE

FEEDER ROUTE

LUDHIANA

HISSAR

REWARI

DELHI

TUNDLA

AGRA

LUNI

JODHPUR PHULERA

JAIPUR

-GAM

DIVA

MEHSANA

PALANPUR

MARWAR JN.

SURAT

VADODARA

VASAI ROAD

PIPAVAV

Hazira

RAJKOT

VIRAM-Port

OKHA

Port

Mundra

GANDHI DHAM

AHMEDABAD

VALSAD

MUMBAI

Thal

PortMumbai

KANDLA


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STATE Kms. Cost

(in Rs. Crores)

Bihar 91+139* 782

Uttar Pradesh 1031 8159

Haryana 213 1473

Punjab 109 602

Delhi 45 346

Maharashtra 192 1465

Gujarat 527 4025

Rajasthan 557 4289

West Bengal 229*-

Jharkhand 180* -

APPROXIMATE STATE-WISE LENGTH OF TRACK AND COST OF DEDICATED

FREIGHT CORRIDOR ON BOTH WESTERN & EASTERN ROUTES

* Kilometerage in States on account of extension of Eastern Corridor to Kolkata.

No cost estimate has been made for the extension between Sonnagar-Kolkata.


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Challenges Ahead Massive Capacity Augmentation ahead

of Demand

Resource Mobilisation

Induction of appropriate technologiesin Rolling Stock

Reducing Unit Cost of Operation


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Opportunities under PPP forState Governments

Rail Connectivity to SEZ

Logistics Hubs

Financing of remote area projects

Warehousing/ICDs

ROB/RUBs

Rail Connectivity to Minor Ports


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Thank You

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