Showing posts with label transport. Show all posts
Showing posts with label transport. Show all posts

Thursday, March 02, 2017

Indian Infra: Untold Stories, Lost Lessons




I always do a double-take whenever I spot an article or new item on the Delhi-Mumbai Dedicated Freight Corridor (DFC).  Call it nostalgia, or just plain curiosity that comes from close association a few years ago.

I was working with JICA in the 2000s when this project was conceived, and when the proposal passed through the labyrinth of North Block before being taken up by the Japanese government. As a part of the numerous surveys and site visits that resulted in the master-plan, I worked with various consultants and traveled extensively - especially in Maharashtra and Gujarat.

One thing that had always puzzled me was the insistence from Indian Railways that the dedicated freight line be "double stack" and "electrical traction". This meant that the engineers and planners had to work on Star Trek mode - to 'go where no man had gone before'. Such a combination had never been implemented successfully anywhere. Getting the electrified pantographs over and above the height of double-stacked containers, and then to get these trains to run reasonably fast across the baked scrublands of Rajasthan, seemed particularly difficult.

Another clear challenge was to get the freight lines through the super densely populated areas of Mumbai, to the JNPT Port.

After 2009, I had lost touch with this project since not much was coming into the public domain by way of news. I did read that the Japanese had - very strategically - limited their ODA involvement to the Western Corridor, and that too from Rewari to Vadodara, instead of going all the way till Mumbai. The Eastern Corridor was subsequently taken up by the World Bank.

Cut to 27 Feb., 2017, to a symposium organised the Centre for Policy Research (CPR) and the Embassy of Japan on "Quality Infrastructure: Japanese Investment in India". At this event, I was quite surprised to hear Mr. Amitabh Kant (now CEO, NITI Aayog) say that five new cities would be commissioned by 2018, along the DFC.



Was this my own Rip Van Winkle moment? What had I missed? Was the Industrial Corridor coming up faster than the freight corridor that supported it? How was this great development being ignored by our hyperactive media?

A subsequent presentation confirmed a long-held opinion that the focus of the Indian media remains firmly on negative reporting. Good news is no news.

Mr. Anil Kumar Dutta (MD, DFC 2014-15) spoke of the close coordination with state government that had resulted in smooth transfer of land to DFC. He talked of 'bombshells' that had been defused during his tenure. One had come from the environment ministry (MoEF) demanding that the route alignment be shifted 140km to save the Balaram Ambaji Wildlife Sanctuary on the Gujarat-Rajasthan border. Another one from the Archaeological Survey of India (ASI) that had objected to the use of a piece of land in the Rewari for the main rail-yard because it had traces of a Harappan settlement dating back to 3000+ years.

Contrary to popular notions about both MoEF and ASI, Mr. Dutta declared that they were "most cooperative...all you must do is to listen - and take action - on their concerns!"

In the case of the suspected Harappan settlement, the discussions had yielded a time-bound, pragmatic solution. DFC hired the services of IIT Kanpur and had the whole rail-yard zone scanned with special ground penetrating radars. A small portion was found to contain ancient remains and  ASI had agreed to go as deep as required to extract all the material it needed. Once this was done, all the clearances were promptly given.

This symposium had quite a number of takeaways. Clearly, we seem to be hiring the right people for the right jobs and they seem to be doing great work, far away from the glare of the Indian media.

Unfortunately, it is also clear that we continue to be pathetic when it comes to documenting lessons learnt from mega projects like the Dedicated Freight Corridor. Great lessons learnt by JICA, DFC and DFCCIL remain locked in project reports, and in the minds of the pragmatic people who cut the proverbial Gordian knot, and then moved on nonchalantly to the next task at hand, or just faded into retirement.

If the lessons we learn are not shared in the public domain, the task of pioneers in other sectors are bound to become so much more difficult.

----------------------------------------------------------
LINKS & REFERENCES

* DFCCIL - http://dfccil.gov.in/dfccil_app/Home
* Axis Capital PPT (Jan., 2016) - http://www.indianrailways.gov.in/Railways%20report%20-%208%20Jan%202016.pdf
* Balaram Ambaji Wildlife Sanctuary - https://forests.gujarat.gov.in/balaram-sanctuary.htm
* (2012) - http://www.financialexpress.com/archive/environmental-issues-may-delay-rail-freight-corridors/1030135/
* (2013) - DFCCIL PPT by R.K. Gupta -- http://www.i-cema.in/past_event/DFCC-Project-Status-Opportunities.pdf
* Nippon Koei India - http://www.nkindia.in/transportation.html

Friday, March 22, 2013

Sanctioned, Allocated & Released!


During the ongoing Budget Session of the Indian Parliament, numbers linked to three words are a source of much angst and analysis -- sanctioned, allocated and released.

Most often, 'sanction' refers to the amount of money notionally set aside by the Planning Commission of India towards implementation of its "Five Year Plans". Once a sanction has been made, the Ministry of Finance uses it as a reference number while 'allocating' budget for each activity listed its annual plans.

Now, allocation is linked to the extent of utilization. So the amount that is finally released for work on the ground may be a fraction of what was originally sanctioned by the planners.

Take for instance a flagship scheme which goes by the unweildy acronym - JNNURM. This is the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), created to 'encourage reforms and fast track planned development of identified cities'. In all, 73 cities were identified across India, and the Planning Commission 'sanctioned' Rs. 66,085 Crores (~$13 billion) for a period of seven years (2005-11).

Since 2005, the actual money allocated through the annual budgets passed by the parliament has been 73 percent -- Rs.47,967 Crores ( ~$ 9.5 billion). Allocations have fallen short of targets mainly because many states could not put in place, a set of four "mandatory reforms' -- (1) Implementation of decentralization measures as envisaged in the 74th Constitution Amendment, (2) Reform of the Rent Control Act and rationalization of stamp duty, (3) Repeal of the Urban Land Ceiling Act, and (4) Enactment of public disclosure law and community participation law.

All states have initiated these reforms but none have implemented them fully. Oddly enough, Tamil Nadu, which has the lowest rate of reform-implementation at 25% has the highest number of completed projects at 68%!

According to a CAG report submitted last year (28 Nov., 2012), only 17 percent of sanctioned projects under urban infra, have been implemented (231 of 1298). The record is even worse for housing projects: 22 of 1517 projects -- just one percent!

So, in the final reckoning, only Rs. 32,934 (less than 50%) of the original money sanctioned has been 'released' for completed projects between 2005-2011.

----------------------------------------------------
LINKS / REFERENCES:

* Ministry of Urban Development - Home Page - http://jnnurm.nic.in/state.html

* JNNURM Overview -- http://jnnurm.nic.in/wp-content/uploads/2011/01/PMSpeechOverviewE.pdf
- selected cities (7+28+28) - page 14

* PRS Blog -- Status of JNNURM (7 Dec., 2012) - http://www.prsindia.org/theprsblog/?p=2330

Wednesday, October 13, 2010

China's High-Speed Rail Projects

.
High-Speed Railways (HSR) seems to be becoming a favorite coming-of-age symbol for many countries. Japan started this with its "bullet train" lines in 1964, followed by Germany & France. The system has since been replicated in many countries including Portugal, Spain, Taiwan & South Korea. Now China is rolling out what a demagogue might call the Mother of All High-Speed Rail Networks.


View China High-Speed Rail Network in a larger map

Right now, China is implementing the most extensive HSR network ever built. In two year's time, the Chinese government plans to build 42 lines, with 5,000 miles of track for passenger trains at 215 miles an hour and 3,000 miles of track for passenger and fast freight trains traveling 155 miles an hour. This is expected to cost about US$ 300billion - the largest component of its two-year (2009-2010) economic stimulus package of $585 billion stimulus package and about about 13% of 2008 GDP.

This brings forth quite a number of interesting questions:
  • How does China expect to benefit from the HSR projects?
  • Is HSR really a more efficient alternative to its nearest competitor - air travel?
  • How did China develop the technical expertise for such a project?
Lets try to figure this these questions one by one..

1. How does China expect to benefit from the HSR projects?

Apart from the prestige and brownie-points that come from such grand, symbolic projects, it is expected to significantly bring down the cost of freight and mass-transport.

In 2008, the first high-speed, 70km rail-link between Beijing and Taijin brought down the travel time to just 30 minutes. Beijing-Shanghai Line (1070 km) is expected to bring down the travel-time from 10 hours to just four. Also the huge budget of $300 billion, just  for HSR construction projects is expected to boost many related industries, including steel, cement, and real estate businesses.

2. How did China develop the necessary technical expertise for such a project?

Quite simply, by brilliantly playing off multinational engineering firms against one another.
In 2004, a consortium led by Kawasaki Heavy Industries (KHI + Mitsubishi Corp, Mitsubishi Electric, Hitachi, Itochu Corp and Marubeni Corp.) agreed to provide the technology to build the E2-1000 to local partner Nanche Sifang Locomotive. Also the Qingdao Sifang Kawasaki Rolling Stock Technology Co. started to build new trains with KHI's technology for Hayate bullet trains, which currently run on Japan's Tohoku Shinkansen line. Soon, other Japanese railway parts suppliers such as Hitachi, Toyo Electric and Nabtesco Corp. warmed up to the prospect of increased business in China

Around the same time, Canada's Bombardier Sifang won a 27.4 billion yuan ($4 billion) contract from the Chinese Ministry of Railways for a signaling system on the network as well as for work on 40 high-speed trains. Siemens of Germany and France’s Alstom, were also persuaded to part with their high-speed rail technology at a cost “clearly below” standard prices.

The trains that emerged from Sifang’s plant in Qingdao looked identical to the E2-1000 that the KHI-led consortium sold under licence in 2004. But state-owned Sifang insisted that underneath their distinctive Shinkansen exteriors, they are Chinese, and that it only uses technology that it had "fully digested" on its own.

Parallel to the foreign collaborations and JV's, China has also been training and recruiting a large number of engineers. In 2009, China Railway Construction Co., the nation's largest railroad builder, hired 14,000 new university graduates - mostly civil and electrical engineers.  This year, the company may hire up to 20,000 new university grads to cope with the company's intensifying workload.

--------------------------------------------------------------
 IN PERSPECTIVE
  • The Beijing-Shanghai HSR would cover a distance is 1070km in four hours (av. speed 267kmph). The fastest train between Delhi-Kolkata, the Rajdhani Express, covers a distance of 1447 km (811 miles) in about 17 hours, at an average speed of 87kmph.
  • Distances & transit-time in China -- here.



--------------------------------------------------------------
LINKS / REFERENCES

China: A future on track - Mure Dickie (FT 23 Sep. 2010)
http://www.ft.com/cms/s/0/2b843e4c-c745-11df-aeb1-00144feab49a.html

China to invest billions in new high-speed rail (AFP) – Jul 28, 2010

http://www.google.com/hostednews/afp/article/ALeqM5jzzqY6AwJS7JhJCPyvzaK9cu9Mmw
Japan Inc shoots itself in foot on bullet train--- By Mure Dickie FT --- July 8 2010
http://www.ft.com/cms/s/0/60da2222-8ab5-11df-8e17-00144feab49a.html

Shanghai - Nanjing high speed line opens - 07 July 2010
http://www.railwaygazette.com/news/single-view/view/10/shanghai-nanjing-high-speed-line-opens/browse/3.html

China Is Eager to Bring High-Speed Rail Expertise to the U.S.- Keith Bradsher (NYT April 7, 2010)
http://www.nytimes.com/2010/04/08/business/global/08rail.html?src=me&ref=business

China Sees Growth Engine in a Web of Fast Trains  (NYT Feb.2010)
http://www.nytimes.com/2010/02/13/business/global/13rail.html?_r=1&pagewanted=all

How Japan Profits From China's Plans -- Vivian Wai-yin Kwok, (Forbes 10.26.09)
http://www.forbes.com/2009/10/26/china-japan-bullet-train-business-logistics-high-speed-rail.html 

IBM Opens Global Rail Innovation Centre (July 2009)
 http://www-03.ibm.com/press/us/en/presskit/27553.wss
http://money.cnn.com/2009/06/22/technology/ibm_china_fast_trains.fortune/index.htm?postversion=2009062210

China`s Amazing New High Speed Trains - CNN (Aug 2009)
http://money.cnn.com/2009/08/03/news/international/china_high_speed_bullet_train.fortune/

IBM rides the high-speed rail (CNN June 22, 2009)
http://money.cnn.com/2009/06/22/technology/ibm_china_fast_trains.fortune/index.htm?postversion=2009062210