regional transport connectivity for sustainable development2 outline: trade, transport and logistics...

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1 Regional Transport Connectivity for Sustainable Development Madan B. Regmi, DEng Transport Division UNESCAP, Bangkok 7 th Regional Environmentally Sustainable Transport Forum 23-25 April 2013, Bali

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  • 1

    Regional Transport Connectivity for

    Sustainable Development

    Madan B. Regmi, DEng

    Transport Division

    UNESCAP, Bangkok

    7th Regional Environmentally Sustainable Transport Forum 23-25 April 2013, Bali

  • 2

    Outline:

    Trade, transport and logistics development

    Status of transport connectivity in Asia

    Resilient transport connectivity

    Long haul intermodal transport

    Concluding remarks

  • 3

    Pattern of Intra-Asian trade

    Trade Statistics

    0

    20,000

    40,000

    60,000

    80,000

    100,000

    120,000

    140,000

    160,000

    180,000

    2006 2007 2008 2009 2010 2011

    Val

    ue

    (in

    mill

    ion

    US$

    )

    Exp-ASEAN to China Imp-ASEAN from China

    Exp-ASEAN to India Imp-ASEAN from India

    Exp-China to CentralAsia Imp-China from CentralAsia

    Exp-China to India Imp-China from India

  • 4

    Rail and Road Density

    Infrastructure Density 2009

    0.00.51.01.52.02.53.03.54.04.55.05.56.06.57.07.58.08.59.09.5

    10.0

    China Iran, Islamic

    Rep.

    Japan Kazakhstan Korea, Rep. Pakistan Russian

    Federation

    Turkey

    km(s

    ) p

    er

    1,0

    00

    Po

    pu

    lati

    on

    Rail Density (Rail Length/1,000 Populations)

    Road Density (Road Length/1,000 Populations)

  • 5

    Growth of Railways, road and vehicles

    Growth Rate

    0%

    2%

    4%

    6%

    8%

    10%

    12%

    14%

    China Iran Japan Kazakhstan ROK Pakistan Russian

    Federation

    Turkey

    Rail Lines (1990-2010) Road (1990 - 2010) Vehicles (1993-2008)

  • 6

    Logistics Performance Index, 2012

    1. Customs, 2. Infrastructure, 3. International shipments, 4.

    Logistics competence, 5. Tracking and tracing, 6. Timeliness

    4.1

    3

    3.0

    2

    2.5

    6 3

    3.4

    9

    2.5

    2.3

    7

    3.1

    8

    2.9

    4

    3.9

    3

    3.5

    2

    3.0

    8

    3.7 3.7

    3

    2.3

    8

    2.4

    1

    2.4

    2

    0

    0.5

    1

    1.5

    2

    2.5

    3

    3.5

    4

    4.5

    Sin

    gapo

    re

    Phi

    lippi

    nes

    Cam

    bodi

    a

    Vie

    tnam

    Mal

    aysi

    a

    Lao

    PDR

    Mya

    nmar

    Thai

    land

    Indo

    nesi

    a

    Japa

    n

    Chi

    na

    Indi

    a

    Kor

    ea, R

    ep.

    Aus

    tral

    iaPNG

    Sol

    omon

    Is.

    Fiji

    Countries

    LP

    I, 2

    012

    (World Bank, 2012)

  • 7

    Transport Connectivity in Asia

    Two aspects of sustainability Contribution of connectivity to sustainable development Making transport connectivity sustainable

    Regional connectivity Regional transport networks: Asian Highway, Trans-Asian railway,

    Logistics centres and dry ports

    Subregional and Inter-subregional connectivity ASEAN, SAARC, GMS, ECO, CAREC, SASEC ASEAN-China ASEAN- South Asia North East Asia - Central Asia South Asia-China

    Intercity connectivity Roads, rails, high speed rails

    Rural connectivity Farm to market roads, rural roads

  • 8

    Asian Highway

    Need US$ 18b to upgrade

    10,000 km of AH routes

    •Intergovernmental Agreement, 29 Parties

    143,000 km, 32 States

  • 9

    Myanmar - Thailand

    Myanmar - India

    China - Kyrgyzstan

    ASEAN - China

    Islamic Republic of Iran – Azerbaijan

    (ongoing)

    Thailand - Cambodia

    Cambodia - Viet Nam

    Thailand - Lao PDR

    (inaugurated March 2009)

    Turkey - Georgia

    (ongoing)

    Islamic Republic of Iran – Armenia

    Islamic Republic of Iran – Pakistan

    (completed end 2008)

    Trans-Asian Railway Network

    Islamic Republic of Iran – Afghanistan

    (ongoing)

    US$ >25 billion

    117,000 km, 28 countries

    10,500 Km Missing Links

    22 signatories, 18 Parties

  • 10

    Logistics

    centres and

    Dry Ports

    •Intergovernmental Agreement on Dry

    Ports

    •Adoption at the 69th session of

    Commission, 25 April – 1 May 2013

    •Opening for signature 7-8 November

    2013 during Forum of Asian Minister of

    Transport

    240 dry ports of

    international importance

    110 potential location

  • 11

    Cross-border connectivity

    Much focus on hard infrastructure

    Many forms of barriers to cross-border transport Inconsistent and time consuming, costly border crossing formalities and

    procedures;

    Restriction/limitation on entry of vehicles;

    Transshipment needed at the border;

    Difficult and different process for transit traffic;

    Differential/reciprocal tariffs/charges;

    Incompatible working hours at borders;

    Coordination among various stake holders; and

    Excessive security checks

    Need to give more focus on streamlining procedures and “soft” issues

    Single window system

    Corridor based approach

  • 12

    Intercity connectivity

    Intercity highways, expressways, railways NHDP, China

    High speed rail gaining popularity Thailand-intercity connectivity

    China- connecting major cities – 9,300 km

    Singapore- Malaysia

    China-Lao PDR

    Lao PDR-Viet Nam

    Nepal -East-west railway development plan

    India- Dedicated freight corridors

    Use of coastal shipping and inland waterways

  • 13

    Rural connectivity

    Rural roads India, China, Viet Nam, Bhutan, Nepal, Sri Lanka

    Contributes to employment generation, poverty reduction and sustainability,

    Improve access to market, health services and education

    Mostly unpaved road

    Explore low cost pavement options

    Many rural roads - poorly engineered and maintained

    High operation and rehabilitation cost

    Policies for maintenance of roads and rural roads

    Involve communities

  • 14

    Resilient Transport Connectivity

    Frequent disasters, extreme climate events, sea level rise- Thailand Flood, Japan earthquake

    Damage to transport infrastructure and affect services

    Planning for resiliency of critical infrastructure

    Higher design standards and review of guidelines

    Height of bridges, embankments, drains

    Coastal transport infrastructure

    Vulnerable location and high risk areas

    Life cycle costing

    Transport network redundancy- for disaster relief operation

    Reliance on one mode to the concept of multi-modal transport

    Network hierarchy- prioritization

  • 15

    Long haul intermodal transport

    Optimal use of road, rail, maritime transport, logistics centres and dry ports

    Integration of different modes Farm to market, manufacturing center connectivity Rail based intermodal transport can relieve road congestion Potential emissions reduction

    Consolidation – reduce less than truck loads runs and reduce number of trucks

    Improved logistics can reduce 10-20% emissions (OECD, 2010) Consolidation and distribution centres in UK have combined 25.7%

    emissions reduction (Zanni and Bristow, 2009). Replacement of trucks by freight train from port to dry port in

    Sweden led to 25% CO2 emission reduction (Roso, 2007). 43% of freight modal shift to railways, 30% less CO2 emission

    (Laos-Thailand corridor)

    Regional economic development: industrial centres, free trade areas

  • 16

    Concluding remarks: The way forward to enhance sustainable connectivity

    Utilize existing regional infrastructure and facilitate cross-border transport/trade

    Promote regional intermodal transport

    Prioritize maintenance of transport infrastructure

    Revive inland waterways and use coastal shipping

    Plan for resilient infrastructure

    Invest in infrastructure to improve connectivity particularly railways

    16

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