dedicated freight corridor

DEDICATEDFREIGHT CORRIDOR

VJTI-MTech(Proj.Mgmt) /

Fall 2014

1

PROJECT MEMBERS

UNDER THE GUIDANCE:

Veermata Jijabai Technological Institute (VJTI)Mumbai, India

UNDER THE GUIDANCE:Prof. BALAJI RAMADURAI,PMP ([email protected])

SRUTHINAIR

[email protected]

SWAPNILSACHDEV

[email protected]

HARSHADJOSHI

[email protected]

MASOOMDESHMUKH

[email protected]

VJTI-MTech(Proj.Mgmt)/ Fall 2014

2

Dedicated Freight Corridor

The transportation of freight or goods through high speed railway linesdedicated for quick supply of goods across country and ports for export

Illustration


3

Freight Transportation ModeFreight Transportation Mode

AIRWAYS WATERWAYS

ROAD PIPIELINE

RAILWAYS


4

Contd…

Sources:RITES(2009)

Freight Traffic in Billion (2007-08)


5

INDIAN RAILWAYS• Indian railways benefit from freight transportation• In 1970’s, 70% freight transport on railways

30% on roadways• Current scenario, 30%- railways

70%- roadways


6

RAILWAYS v/s ROADS

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1950-51 1960-61 1970-71 1980-81 1990-91 2000-01 2007-08

RoadRail

Source: RITES (2009)


7

CONTD..


8

WHY DFC IS REQUIREDTo cope with increased freight traffic:

• To carry the same on existing network OR• Creation of a new passenger corridor OR• To go for separate freight corridor.


9

CONTD…

• First option of upgrading not convincing due to

-average freight speed is very low

-Heavy traffic density routes-Technical constraints-to overcome these constraints the cost incurred is very high

• Second option not feasible.


10

SALIENT FEATURES & DESIGN CONSIDERATIONSVJTI-MTech(Proj.Mgmt)/ Fall 2014

11

CONTD..VJTI-MTech(Proj.Mgmt)

/ Fall 2014

12

BENEFITS OF DEDICATED FREIGHTCORRIDOR• Contribution to economic development by freight

transportation

• Segregated electrified line for freight, parallel to theexisting railway line, allows the passenger trains to movefaster in the existing lines

• For industry, reduced unit cost of transportation as DFCprovides rail infrastructure to carry higher throughput pertrain

• Guaranteed, faster transit at an economic tariff


13

CONTD..

• Accelerate nation-wide economic development aswell as improve the environment

• Less energy consumed as compared to truck modeand avoided gas emissions

• Increase in employment opportunities of the region

• Improve and expand the market for agriculturalproduce, forestry and fisheries of the regions


14

WHAT IS INDUSTRIAL CORRIDOR?

• Development of the Industries along the transportCorridor to facilitate the movement of Goods fromthese industries.

• It is the iintegration between the industries and theinfrastructure


15

Selection Criteria for Investment Region:

To ensure at least one such node in each of the DMICState to spread the economic benefits;

• Benefit from the proximity to Metropolitan Areas asDelhi, Mumbai;

• Potential for Developing Greenfield Ports (or)Augmentation Possibilities;

• Easy Availability of such huge land parcels andestablished industrial base.


16

Selection Criteria for Industrial Area:

• To take advantage of inherent strengths of specificlocations (mineral resources, rich agriculture base,availability of skilled human resource base, potentialfor setting up specific group of industries, IT/ITESetc);

• Selection of suitable locations to ensure anopportunity to transform under-developed regionsalong the Corridor to Developing/ Well Developedregions.


17

INDUSTRIAL CORRIDORS IN INDIA

• Delhi - Mumbai

• Amritsar - Kolkata

• Mumbai - Bengaluru

• Chennai - Bengaluru


18

ESTIMATED TOTAL COST OF PROJECT

Source: JICA report


19

DELHI MUMBAI INDUSTRIAL CORRIDOR

States covered

1. Uttar Pradesh

2. Haryana

3. Rajasthan

4. Gujarat

5. Maharashtra


20

SHORTLISTED INVESTMENT REGION IN PHASE1SHORTLISTED IR

Dadri-Noida-Ghaziabad (U.P. ) General Manufacturing ;

Manesar-Bawal in Haryana Auto Component/ Automobile

Khushkhera-Bhiwadi-Neemrana inRajasthan

General Manufacturing/ Automobile/ AutoComponent

Pitampura-Dhar-Mhow in MadhyaPradesh

General Manufacturing

Bharuch-Dahej in Gujarat Petroleum, Chemical and Petro-Chemical

Igatpuri-Nashik-Sinnar in Maharashtra General Manufacturing


21

SHORTLISTED INVESTMENT AREA IN PHASE 1

Meerut-Muzaffarnagar in Uttar Pradesh Engineering/ Manufacturing

Faridabad-Palwal in Haryana Engineering & Manufacturing

Jaipur-Dausa in Rajasthan Marble/Leather/Textile

Nimach-Nayagaon in Madhya Pradesh Engineering/ Agro-Processing

Vadodara-Ankleshwar in Gujarat General Manufacturing

Dighi/Alewadi in Maharashtra. Greenfield Port


22

PROJECT COST AND FINANCING OF THEWESTERN CORRIDOR


23

DMIC in Maharashtra

• Node No.17:Dhule-Nardhana InvestmentRegion• Node No.18:Igatpuri-Nashik-SinnarInvestment Region• Node No.19:Pune-Khed Industrial Area• Node No.20:Industrial Area with GreenfieldPort at Dighi


24

Length of corridor: 930 km approx.

GENERALFEATURES

ofDMIC (inVadodara-Rewari)

Junction stations:10, crossing station:10

Major & Important bridges:207

Road over bridges:8

Alignment passed through: Gujarat,Haryana, Rajasthan

District involved:17, Villages covered: 451

Maximum Speed: 100 km/hr


25

Status of the Project: Land Acquisition - Being acquiredunder Railway Amendment Act (RAA) 2008 - (units inhectares)

Land to beacquired

Land Acquired

Eastern DFC 4807 3635 (75%)

Western DFC 5860 5039 (85%)

Total 10667 8673 (81%)


26

REHABILITATION ANDRESETTLEMENT POLICY (RRP)

Objective of RRP :Avoid or minimize land acquisition; where

displacement is unavoidable, prepare time boundRRP for PAPs.Special care for weaker sections/vulnerable groups To provide better standard of living Facilitate harmonious relationship between the

requiring body and affected families through mutualcooperation.


27

COMPENSATION POLICYApplication

Definition of AffectedPersons Entitlement

Land on the ProjectRight of Way

Loss Of PrivateAgricultural,Homestead &Commercial Land

Legal Title holders andAffected Parties withtraditional land rights

1.Compensation atreplacement cost2.Resettlement andRehabilitation

Registered tenants,contract cultivators &leaseholders

Compensation for standingcrops at market rate

Un-registered tenants,contract cultivators,leaseholders,sharecroppers

Compensation for standingcrops at market rate


28

CONTD..

Structure on the ProjectRight of WayLoss of PrivateStructures(Residential/Commercial)

Title Holder/Owner Compensation Atreplacement rateResettlement &Rehabilitation Assistance

Tenants/Lease HoldersResettlement &Rehabilitation Assistance

Standing Trees, Crops onProject Right of Way

Loss of Trees & Crops

Owners & beneficiaries ofland

Compensation at marketvalue


29

Structures on the ProjectROWLoss ofResidential/Commercial Structures byNon Title Holders

Owners of structuresidentified as on date ofnotification

Compensation at replacementcostResettlement & RehabilitationAssistance

Households living onRight of wayLoss of Livelihood

Title Holders/ Non-Titleholders/share-croppers,agricultural labourersand employees

Rehabilitation Assistance

Households affected byROWAdditional support tovulnerable group

Households affectedRehabilitation Assistance

CONTD..…VJTI-MTech(Proj.Mgmt)

/ Fall 2014

30

Affected ScheduledTribes

Households affected byROW

Rehabilitation Assistance

Structures & otherresources (eg land,water, access to socialservices etc) on ROWLoss of CommunityInfrastructure/Common PropertyResources

Affected communitiesand groups

Reconstruction ofcommunity structure andcommon property resources

Land & assetstemporarily impactedduring construction

Owners of land & assets Compensation for temporaryimpact during constructionlike disruption of normaltraffic, damage to adjacentparcel of land/ assets due tomovement of heavymachinery and plant site.

CONTD.. VJTI-MTech(Proj.Mgmt)/ Fall 2014

31

HINTERLAND DEVELOPMENT• NODE-18: IGATPURI-NASHIK-SINNAR INVESTMENT REGION

• Close by the Mumbai-Kalyan-Igatpuri-Manmad-Jalgaon trunk road.

• Industrial sectors in Nashik - Engineering, Automobile, Aluminium, Raisins,and Steel Furniture.

•ADVANTAGES:Proximity to urban center of Nashik.Served by NH-3 and NH-50.

• Widening and Strengthening of NH-3 to four lane dual carriageway beingimplemented whereas NH-50 has two-lane carriageway configuration.

• Construction of Nashik-Mumbai Expressway is under implementation.

• Wine Park in Nashik district at Vinchur

• Urban Infrastructure improvement under JNNURM Scheme


32

• Export-oriented Industrial Units/ SEZ: has the potential forEngineering, Automobile, Aluminium, Raisins, and Steel FurnitureSectors.

• Augmentation of Existing Industrial Estates: augmentation of twoindustrial areas in Nashik district (Nashik and Sinnar) are considered forimplementation under DMIC.

• Integrated Agro/Food Processing Zone: an Integrated Agro/FoodProcessing Zone with horticulture market will be developed as part of theNashik-Sinnar Investment Region.

• Knowledge Hub/Skill Development Centre: To support theengineering, automobile, wine production/ agro-processing sectors, aKnowledge Hub/skill up gradation centre is proposed to be developed withintegrated infrastructure facilities.

BUSINESS CASE


33

Contd..• Integrated Logistics Hub

• Integrated Township

• Development of Nashik Airport

• Feeder Road Links

• Feeder Rail Links


34

LogisticsVJTI-MTech(Proj.Mgmt)

/ Fall 2014

35

NEED FOR LOGISTICS IN INDIA

•Highly Competitive and Low Cost

•Low Utilization and High Transit Times

•Overloading of Vehicles

•Poor Infrastructure

•Barriers to Free Movement

•Very Unsafe


36

Freight Cost

• Canada - US$ 0.02

• Japan – US$ 0.037

• France - US$ 0.055

• India – US$ 0.07

high rates of economicgrowth and trade growth

weaknesses in qualityand geographicalcoverage of the logisticsservices and facilities


37

BENEFITS

• Reduced transit time and processing time

• Optimal use of all modes of transport thusreducing overall cost

• Easy access to value added logistics services

• Improved service levels, professionalism

• Reduction in inventory and damages.


38


39

dedicated freight corridor

Leadership & Management

economic tariffvjtimtechproj

increased freight traffic

separate freight corridor

average freight speed

economic benefits

industrial corridor

high speed railway

new passenger corridor