Indian Railways Junction
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Niti moots Rs 22,500-crore plan for private trains on 100 routes
By PTI | Updated: Jan 04, 2020, 06.23 AM IST
New Delhi: Niti Aayog and Indian Railways have come out with a discussion paper for running 150 trains on 100 routes by private operators, envisaging an investment of Rs 22,500 crore.
The discussion paper titled 'Private Participation: Passenger Trains' has identified 100 routes, including Mumbai Central-New Delhi, New Delhi- Patna, Allahabad-Pune and Dadar-Vadodara.
Other prominent routes include Howrah-Chennai, Howrah Patna, Indore-Okhla, Lucknow-Jammu Tawi, Chennai-Okhla, Anand Vihar-Bhagalpur, Secunderabad-Guwahati and Howrah-Anand Vihar.
The paper, prepared for discussions with stakeholders, has split the 100 routes into 10-12 clusters.
As per the paper, the private operator will have the right to collect market-linked fares and will be provided flexibility of class composition and halts.
The privatisation of train operation, the paper said, will help in introducing modern technology and rolling stocks with reduced maintenance.
Besides, it would provide world-class service experience to passengers and also help in reducing the supply demand deficit.
The operators could be domestic or international entities, the paper said.
Each bidder would eligible for award of maximum three clusters, it added.
The Tejas Express on the Lucknow-Delhi route, which was flagged off on October 4, is the railways' first experience of letting a non-railway operator run a train. The Tejas Express is run by railways' subsidiary IRCTC.
IRCTC has a slew of benefits worked out for its passengers -- combination meals, free insurance of up to Rs 25 lakh and compensation in case of delays.
The Railway Board had in October last year formed an empowered group of secretaries, headed by Niti Aayog CEO Amitabh Kant, to chalk out the modalities of the bidding process and take other decisions to fast-track awarding of bids to private players.
Niti moots Rs 22,500-crore plan for private trains on 100 routes
By PTI | Updated: Jan 04, 2020, 06.23 AM IST
New Delhi: Niti Aayog and Indian Railways have come out with a discussion paper for running 150 trains on 100 routes by private operators, envisaging an investment of Rs 22,500 crore.
The discussion paper titled 'Private Participation: Passenger Trains' has identified 100 routes, including Mumbai Central-New Delhi, New Delhi- Patna, Allahabad-Pune and Dadar-Vadodara.
Other prominent routes include Howrah-Chennai, Howrah Patna, Indore-Okhla, Lucknow-Jammu Tawi, Chennai-Okhla, Anand Vihar-Bhagalpur, Secunderabad-Guwahati and Howrah-Anand Vihar.
The paper, prepared for discussions with stakeholders, has split the 100 routes into 10-12 clusters.
As per the paper, the private operator will have the right to collect market-linked fares and will be provided flexibility of class composition and halts.
The privatisation of train operation, the paper said, will help in introducing modern technology and rolling stocks with reduced maintenance.
Besides, it would provide world-class service experience to passengers and also help in reducing the supply demand deficit.
The operators could be domestic or international entities, the paper said.
Each bidder would eligible for award of maximum three clusters, it added.
The Tejas Express on the Lucknow-Delhi route, which was flagged off on October 4, is the railways' first experience of letting a non-railway operator run a train. The Tejas Express is run by railways' subsidiary IRCTC.
IRCTC has a slew of benefits worked out for its passengers -- combination meals, free insurance of up to Rs 25 lakh and compensation in case of delays.
The Railway Board had in October last year formed an empowered group of secretaries, headed by Niti Aayog CEO Amitabh Kant, to chalk out the modalities of the bidding process and take other decisions to fast-track awarding of bids to private players.
Niti moots Rs 22,500-crore plan for private trains on 100 routes
Railways to call for bids for redevelopment of stations
Indian Railways will be calling for bids for redevelopment of stations under the public, private partnership mode as well as for running more private trains in the Mumbai-Delhi-Kolkata sections soon, said Chairman, Railway Board Vinod Kumar Yadav.
“We have redesigned the station redevelopment model and will be unveiling the details shortly. There is also potential for running more passenger trains in addition to the existing ones run on the Mumbai-Delhi-Kolkata routes within the next two years. Bidding will take one year and at least three years to get them rolling,” he said.
Mr. Yadav envisages private players to play a significant role in the coming years in terms of improving passenger amenities like better food, clean linen, entertainment and so on as it happens all over the world.
“We need more state-of -the- art rolling stock so we are going for corporatisation but only after talking to the employees unions and tweaking will be done on how to handle the new operations,” he said. Proposed new trains will be in addition to the existing ones so that there will be no effect on the staff since infrastructure and operations will remain with the railways. “There is no question of privatisation and there will be no problem to any of the employees,” the Chairman maintained.
What gives him more satisfaction is the fact that there has been zero passenger fatality in the current financial year. “Our safety standards and operational efficiency have gone up. The Real Time Information System (RTIS) with ISRO-Gagan will be completed for all trains within six months,” he said.
Towards enhanced safety, European Train Control Systems – 2 is to be introduced with bids invited for a pilot project of 650 km for modernising the signalling and telecommunication systems. The Telecom Regulatory Authority of India (TRAI) too has consented to provide 5MHz spectrum in 700 MHz band after extensive consultations and once it is available the signals will be inside the loco-cab, he explained.
“We expect a major shift to happen in two years and once it gets stabilised, we will go for a massive scale especially in 11,000 km carrying 60% traffic and another 23,000 km having 36% traffic. For remaining 34,000 km carrying only 4% traffic, we will go for the indigenously developed Train Collision Avoidance System (TICAS) for which 1,200 km bids were called following test runs,” said Mr. Yadav.
Another 11,000 km of ‘congested’ lines has been identified in other parts carrying 60% traffic in East-West as well as North-South routes. A ₹500 crore feasibility study is under way to upgrade the 5,800 km of this section as another phase of dedicated freight corridor, he said. Funding is through debt equity or PPPs.
Railways has also identified 10,000 km for the high speed corridor and 500 km is being done with the help of Japan. Feasibility study has been completed for 4,000 km of Chennai, Bengaluru and Mysuru with talks under way with firms from Russia, France, Germany, Spain, China besides Japan to push the project, he added.
Indian Railways will be calling for bids for redevelopment of stations under the public, private partnership mode as well as for running more private trains in the Mumbai-Delhi-Kolkata sections soon, said Chairman, Railway Board Vinod Kumar Yadav.
“We have redesigned the station redevelopment model and will be unveiling the details shortly. There is also potential for running more passenger trains in addition to the existing ones run on the Mumbai-Delhi-Kolkata routes within the next two years. Bidding will take one year and at least three years to get them rolling,” he said.
Mr. Yadav envisages private players to play a significant role in the coming years in terms of improving passenger amenities like better food, clean linen, entertainment and so on as it happens all over the world.
“We need more state-of -the- art rolling stock so we are going for corporatisation but only after talking to the employees unions and tweaking will be done on how to handle the new operations,” he said. Proposed new trains will be in addition to the existing ones so that there will be no effect on the staff since infrastructure and operations will remain with the railways. “There is no question of privatisation and there will be no problem to any of the employees,” the Chairman maintained.
What gives him more satisfaction is the fact that there has been zero passenger fatality in the current financial year. “Our safety standards and operational efficiency have gone up. The Real Time Information System (RTIS) with ISRO-Gagan will be completed for all trains within six months,” he said.
Towards enhanced safety, European Train Control Systems – 2 is to be introduced with bids invited for a pilot project of 650 km for modernising the signalling and telecommunication systems. The Telecom Regulatory Authority of India (TRAI) too has consented to provide 5MHz spectrum in 700 MHz band after extensive consultations and once it is available the signals will be inside the loco-cab, he explained.
“We expect a major shift to happen in two years and once it gets stabilised, we will go for a massive scale especially in 11,000 km carrying 60% traffic and another 23,000 km having 36% traffic. For remaining 34,000 km carrying only 4% traffic, we will go for the indigenously developed Train Collision Avoidance System (TICAS) for which 1,200 km bids were called following test runs,” said Mr. Yadav.
Another 11,000 km of ‘congested’ lines has been identified in other parts carrying 60% traffic in East-West as well as North-South routes. A ₹500 crore feasibility study is under way to upgrade the 5,800 km of this section as another phase of dedicated freight corridor, he said. Funding is through debt equity or PPPs.
Railways has also identified 10,000 km for the high speed corridor and 500 km is being done with the help of Japan. Feasibility study has been completed for 4,000 km of Chennai, Bengaluru and Mysuru with talks under way with firms from Russia, France, Germany, Spain, China besides Japan to push the project, he added.
Yup, private rolling stock, national rail system.. i guess japs follow the same too
Private sector investment in only rolling stock, manpower, support function outsourcing in parallel to existing (& adding new) government railway rolling stock, manpower, in-house support function. All strategic infrastructure to remain under government authority like communications etc.
Sir, that was not clear, so let me paraphrase.
A) Are you making the point that private investment will be supplementary ie over and above what Govt is investing?
B) Also govt will continue to (in the long term) be involved in the business of running trains? And continue to make investment there in addition to what the private sector is doing?
Yes to both of your queries. However, important to note, compromises are being made in running the trains from manpower point of view(being done from last one decade to say mildly). Inside people only know about this, however not the correct place to disclose that. Thank you.
Appreciate your response , Sir.
May I take the liberty to prod you a little bit more.
A) many sites including swarajya mag are talking of the bid to invite private players and all invariably mention the freedom for bid winner to select and deploy rolling stock of their choice. In such a scenario
i) is there any clarity on safety critical manpower in running those systems, say Loco pilot, Train guards etc? Will it be like Virgin trains in UK or jr eastern etc in Nippon?
ii) Could you kindly share your perspective on the future of current IR Production Units. Also if possible in general on the future of IR keeping in view of the recently published National Investment Pipeline. If your schedule permits and is possible, an view of someone with peeks of the internal dynamics might be highly obliged
Niti Aayog's draft for pvt trains: 15-minute head start, max speed of 160 kmph, own guard, crew
PTI | Updated: Jan 9, 2020, 06.57 AM IST
Eligible applicant to run private operations may be a - domestic or international entity – with a minimum technical capacity of Rs 2,700 crore over the last five years, the proposal stated.
Private trains running on a particular route will have a head start of 15 minutes on other trains running on the same route, a maximum permissible speed of 160 kmph and also their own guards and crew, says a draft proposal mooted by Niti Ayog as it finalises the contours of bringing in private players for train operations in the country.
A slew of draft documents -- for Request for Qualification (RFQ), Concession Agreement Guiding Principles, Project Information Memorandum (PIM) along with a presentation on the salient features of the project -- for discussion on private participation in passenger trains have been uploaded by Niti Aayog on its website which outline the railways' plans of running 150 trains on 100 routes by private operators, envisaging an investment of Rs 22,500 crore.
The paper, prepared for discussions with stakeholders, has split the 100 routes into 10-12 clusters. As per the paper, the private operator will have the right to collect market-linked fares and will be provided flexibility of class composition and halts.
It said the time taken by a private train to complete a path shall be comparable to the fastest train of Indian Railways operating on that path with a variation of plus or minus ten per cent.
"IR shall provide a non-discriminatory treatment for the trains operated by the Concessionaire. No similar scheduled regular train will depart in the same origin destination route within 15 minutes of the scheduled operation of the Concessionaires (private players) train. Each train shall have a minimum of 16 coaches and a maximum not exceeding the longest passenger train operating on the respective path," the draft stated.
The documents have stated that Operation and maintenance of the passenger trains would be governed by standards to be laid down by Research Design and Standards Organisation (RDSO). The maintenance of the trains shall be the responsibility of the private entity.
Railways will provide berth/ space to private entities in the existing maintenance depots/ washing lines or a space in proximate area on as is where basis for up-gradation and use of the same by them.
The private entity shall be free to procure trains and locomotives from a source of its choice, provided such trains and locomotives are compatible with specification and standards specified in the Concession Agreement, the document stated.
"The private entity shall be responsible for financing, procuring, operation and maintenance of the trains. The private entity shall pay to IR pre-determined charges for haulage and any other payments as specified in the agreement," the document said.
The documents have also specified the features that the private trains should have -- modern design bogies, stainless steel/aluminum exteriors, brake system, improved safety features with fire retardant interiors, modern couplers with anti-climbing features, wider gangway design for safe inter-rail car movement, efficient air conditioning with automatic temperature and humidity control, superior interiors and toilets, folding step for physically challenged passengers GPS enabled passenger announcement system for on-board announcements for station arrivals, time to next station/destination, safety announcement, among other requirements.
It also said that the compensation for claims in respect of loss of life, bodily injury, luggage and goods will be covered under insurance taken by the private entity.
Eligible applicant to run private operations may be a - domestic or international entity – with a minimum technical capacity of Rs 2,700 crore over the last five years, the proposal stated.
Officials in the railway ministry said that the RFQ and RFP will be floated soon for the 150 trains to be run by private operators.
Niti Aayog's draft for pvt trains: 15-minute head start, max speed of 160 kmph, own guard, crew
PTI | Updated: Jan 9, 2020, 06.57 AM IST
Eligible applicant to run private operations may be a - domestic or international entity – with a minimum technical capacity of Rs 2,700 crore over the last five years, the proposal stated.
Private trains running on a particular route will have a head start of 15 minutes on other trains running on the same route, a maximum permissible speed of 160 kmph and also their own guards and crew, says a draft proposal mooted by Niti Ayog as it finalises the contours of bringing in private players for train operations in the country.
A slew of draft documents -- for Request for Qualification (RFQ), Concession Agreement Guiding Principles, Project Information Memorandum (PIM) along with a presentation on the salient features of the project -- for discussion on private participation in passenger trains have been uploaded by Niti Aayog on its website which outline the railways' plans of running 150 trains on 100 routes by private operators, envisaging an investment of Rs 22,500 crore.
The paper, prepared for discussions with stakeholders, has split the 100 routes into 10-12 clusters. As per the paper, the private operator will have the right to collect market-linked fares and will be provided flexibility of class composition and halts.
It said the time taken by a private train to complete a path shall be comparable to the fastest train of Indian Railways operating on that path with a variation of plus or minus ten per cent.
"IR shall provide a non-discriminatory treatment for the trains operated by the Concessionaire. No similar scheduled regular train will depart in the same origin destination route within 15 minutes of the scheduled operation of the Concessionaires (private players) train. Each train shall have a minimum of 16 coaches and a maximum not exceeding the longest passenger train operating on the respective path," the draft stated.
The documents have stated that Operation and maintenance of the passenger trains would be governed by standards to be laid down by Research Design and Standards Organisation (RDSO). The maintenance of the trains shall be the responsibility of the private entity.
Railways will provide berth/ space to private entities in the existing maintenance depots/ washing lines or a space in proximate area on as is where basis for up-gradation and use of the same by them.
The private entity shall be free to procure trains and locomotives from a source of its choice, provided such trains and locomotives are compatible with specification and standards specified in the Concession Agreement, the document stated.
"The private entity shall be responsible for financing, procuring, operation and maintenance of the trains. The private entity shall pay to IR pre-determined charges for haulage and any other payments as specified in the agreement," the document said.
The documents have also specified the features that the private trains should have -- modern design bogies, stainless steel/aluminum exteriors, brake system, improved safety features with fire retardant interiors, modern couplers with anti-climbing features, wider gangway design for safe inter-rail car movement, efficient air conditioning with automatic temperature and humidity control, superior interiors and toilets, folding step for physically challenged passengers GPS enabled passenger announcement system for on-board announcements for station arrivals, time to next station/destination, safety announcement, among other requirements.
It also said that the compensation for claims in respect of loss of life, bodily injury, luggage and goods will be covered under insurance taken by the private entity.
Eligible applicant to run private operations may be a - domestic or international entity – with a minimum technical capacity of Rs 2,700 crore over the last five years, the proposal stated.
Officials in the railway ministry said that the RFQ and RFP will be floated soon for the 150 trains to be run by private operators.
Niti Aayog's draft for pvt trains: 15-minute head start, max speed of 160 kmph, own guard, crew
The maximum speed any private train will run on will depend upon the MPS certification of tracks on those routes or MPS certification of the rake. Whichever is lower. Saying 150 trains in 100 routes will run at 160kmph would be wrong.
Secondly private trains. I hope the government is not under any false imagination world and means private passenger service?
The biggest earner in Indian Railways is SER operating in Jharkhand/Odisha and parts of WB. And its the goods which bring that money.
Passenger service aint sustainable by any means without heavy government subsidies. It doesnt work in US nor in UK not will it work here.
Just my 2 cents.
PS: I just hope Railways finds enough money to complete the two DFCs, completely electrify the high density passenger routes and install modern signalling system along Delhi Howrah and Delhi Mumbai route atleast.