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Suburban Rail Progress - Railway Board & SWR Conversation

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Written By kbsyed61 - 12 May, 2014

Bangalore railways CRS SWR Karnataka Bengaluru Commuter rail Suburban Rail

One of the interesting aspect of Indian Elections is that all the official machinery comes to halt. The Election Model Code serves as the perfect alibi for all the delays, even if they are not. Yes, for last 6 weeks the whole of India was engulfed in what everybody loved to love call "Dance of Democracy".

Lets come to progress on proposal for 'Bengaluru Suburban Rail'. The last progressive step was seen in February, 2014. That was just before the Railway Budget. Just to remind, Government of Karnataka had finally sent the official proposal to Railway Board in October 2013. In that response, Railway Board wrote to South Western Railway, Hubli soliciting their comments and response to GOK's proposal for Suburban Rail services in Bengaluru. This was in February 2014.

Finally it has come to notice that SWR has sent in their comments to Railway Board on March 26, 2014.

Let's look at the conversation between Railway Board and SWR Hubli.

1. Railway Board: Expenditure on by-passes and new freight terminals?
SWR Comment: With regards to the development of bye passes and new freight terminals RITES report has mentioned of these activities in phase-III of RITES report. 
 
2. Railway Board: PPP component in the project?
SWR Comment - RITES report has specifically recommended for an SPV to manage these activities and arrangements have been discussed at para 11.5 to 11.6 of the RITES report. It is premature at this juncture to assess the extent of involvement of individual stakeholders. This issue has already been commented upon by SWR in its letter dated 20.13.13(copy enclosed). It is opined that an empowered committee or the SPV may have to find a way ahead in consultation with the stakeholders to raise funds from alternative means.
 
3. Railway Board: Future of the basic traffic of Railways i.e. freight and long/medium distance
SWR Comment - To ensure that the future of basic traffic of railways is protected the involvement of responsible railway officers is essential. Hence, SWR has requested for Railway Board guidelines vide its letter dated 03.02.14 (copy enclosed).
 
4. Railway Board: Can there be a cap on the number of suburban services in a given infrastructure in case of increase in suburban traffic etc.
SWR Comment - With regards to the number of suburban services and putting a cap thereof, it is a decision which can be enforced by participating in the SPV and matching the services with the infrastructure.
 
5. Railway Board - Any other relevant items (technical and financial) which should be considered by the Railways.
SWR Comments - 
a) The essential point to be noted in the entire proposal is that GoK’s proposal to develop Commuter Rail System in Bangalore is essentially utilizing IR infrastructure to develop further infrastructure to offer least cost solution to all concerned. In view of this, it may be prudent on the part of IR to agree to participate in such projects where the IR is the backbone of the developments.
 
b) The proposal from GoK has also asked for participation in the project and commit equity participation. Since, IR is going to be the backbone of the project, it may be informed that the assets of IR will themselves be equity participation of IR and no additional involvement is required other than a token representation.
 
c) With regards to the commitment of 50% of the cost by IR, this issue can be dealt after formation of SPV and exploring alternative means of raising the finances for carrying out the project. Again, this is possible only if IR is participating and is a part of the empowered committee which will prepare the modus operandi for carrying out this project.
 
d) For additional facilities/line requirement of land has not been worked out which may be a real bottleneck in metropolitan areas.
 
e) State Government has not spelt out anything about any surcharge on existing fares.
 
f) It will be worthwhile to examine constraints of yard remodeling at major junction points before giving go ahead of any kind.  
 
The original communications is enclosed here.

COMMENTS

This time its should get approval and kick start the services

Sanjeev - 19 May, 2014 - 01:37

Expecting MP's from Bangalore to ensure that Suburban Rail / Commuter Rail gets approval from Railway Board a d its gift by he MP's to City.

 

 

Earlier Conversation between Railway Board and SWR!

kbsyed61 - 12 May, 2014 - 16:55

Here is the conversation in 2011 and 2013 between Railways and SWR. Clearly there is enough tracktion in Railways on this project. Mr. Kharge did missed the golden opportunity in expediting the project. Not sure what did he gained by not putting his stamp on this project?

Cost Sharing!

kbsyed61 - 12 May, 2014 - 17:09

Going through the conversation, it is becoming clear that Railways is averse to cost sharing for development of infrastructure for CRS. Not sure why GOK keeps insisting 50-50 cost sharing even though 2012 RITES report had clearly given these recommendations,

  1. GOK to fund 100% of Phase-1A - Rs. 175 Crores
  2. SPV - 50 Crorer initial equity by GOK and IR as in the case of MRVC.
  3. For rest of the bulk funding, go for external borrowings from World Bank, ADB etc.
  4. Operation to stay with IR/SWR, Fare Managment, Development of CRS to be with SPV.

 

Response from SWR to Railway Board is clear

Sanjeev - 14 May, 2014 - 18:41

Now its almost two months,  Railway Board is not able to take decision on how to say NO  to GOK proposal now ???

Its sorry state that experienced people siting in Railway board not able to demonstrate their leadership skills and show to whole country that how Railway Board can help big cities in over coming traffic issues, they need to demosgtarte that Railway has stuff in meeting urban transport requirement thru Suburban Rail.

How much time needs for Railway Board to take call on this now ???

Why is that Cheif / Secretary of GOK not sending reminders to Railway Board for giving approval  for Bangalore suburban rail ????

Basavaraj's Loss

amithpallavoor - 12 December, 2014 - 11:49

Tumkur MP Basavaraj losing the election does not augur well for Bangalore CRS. He was one of the earliest supporters of this project. P.C Mohan and Ananthu are maybe looking at the lucrative Rail Ministry portfolio, which is why they are backing this project and not because of any genuine interest.

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