[The proposed Mumbai-Ahmedabad route would have 35 trains a day — one-tenth
that of the Tokyo-Osaka route, that costs $130 (around `8,400) per one-way
ticket or roughly double the airfare. With less frequent trains, the costs
in India would be far higher. And since it is extremely unlikely that the
Railways would be able to fill some 46,000 seats a day (35 multiplied by
1,323) at these rates, the subsidy would have to be stupendous. Needless to
say, this would mostly go to people who politically support Prime Minister
Narendra Modi. A subsidy of about half the fare will mean a loss of Rs 1.91
crores to the Railways every day, or around `700 crores a year.
To get an idea of the magnitude of the costs involved, former railway
minister Suresh Prabhu’s first Rail Budget in 2014 projected a five-year
expenditure of a similar amount for network expansion and strengthening
safety over five years in the entire country. It will be reasonable to
assume that in the light of recent rail accidents, this money was not well
spent. The Railways would be further impoverished for their needs to
support the white elephant of a bullet train, that will be a fancy
showpiece but achieve little else else.
The Indian Railways are the country’s largest public investment, employing
over a million people. Over the decades they have been neglected and have
lost marketshare to other means of transport. A rejuvenation of the Indian
Railways is badly needed, but not through elitist solutions like bullet
trains. Investment in new rails, signalling equipment, rolling stock of
wagons and passenger facilities and proper management could push up the
utilisation of rail capital, ultimately leading to better services and
faster trains.]

http://www.asianage.com/opinion/columnists/280917/bullet-trains-far-too-costly-for-india.html

Bullet trains: Far too costly for India

Yogi Aggarwal
The writer is a Mumbai-based freelance journalist

Published : Sep 28, 2017, 1:49 am IST Updated : Sep 28, 2017, 7:29 am IST

The Indian Railways are the country’s largest public investment, employing
over a million people.

First bullet train in India will run between Mumbai and Ahmedabad, a 516 km
long route. (Photo: /Representational/AFP)

Work began on the bullet train (or superfast train) project in the very
month that the Indian Railways suffered a major setback in having nine
accidents and derailments. The question that it raised was whether the
above Rs 1 trillion (lakh crore) to be spent on the 534-km Mumbai-Ahmedabad
bullet train be better spent by the Railways on improving overall safety,
ensuring timely delivery of heavy materials like steel, coal or cement for
industry, and raising the level of passenger comfort.

The superfast train looks very attractive on many counts — reducing the
time of travel by more than half, gradually building the skills in industry
to service the needs of building tracks and safety systems for the Railways
and helping to develop small towns like Palghar or Vapi near the track,
which can be halts.

Added to this is the high safety and punctuality level in Japan’s
Shinkansen, or bullet train system. These bullet trains have been
operational since 1964, have carried over 10 billion passengers till now,
without a single accident or casualty and an average delay of less than one
minute. These standards are phenomenal, but it is highly unlikely that the
prevailing culture in India will allow that to be replicated here.

Though Japan was the first country in the world to build bullet trains,
many other nations have followed, notably France, China and Germany. China
has moved ahead the fastest, now having 22,000 km of track for bullet
trains. It has exported train systems to Thailand and Indonesia and is an
avid seeker of markets. Though the trains are cheaper, India prefers Japan
for geopolitical reasons, and to not allow Chinese influence to grow in our
infrastructure policy.  Japan has so far only managed to sell its bullet
trains to Taiwan, but has not transferred the technology.

The Rs 1.1 trillion cost may not seem very much for such a large project,
but when compared to alternatives or the high cost of travel, that will
invariably be subsidised, the picture begins to change.

The original Shinkansen, connecting Japan’s largest cities Tokyo and Osaka
is the world’s busiest high-speed rail line. Carrying close to half a
million passengers daily per year on 350 trains, at peak times the line
carries up to 13 trains per hour in each direction with 16 cars each
(1,323-seat capacity) with a minimum headway of three minutes between
trains. It is a profitable route, unlike most other lines which run at a
loss, but the fare is around $130 (around `8,400) for a one-way Shinkansen
ticket from Tokyo to Osaka.

Profitability is a notoriously hard task for high-speed train networks.
Most lines that criss-cross Europe, for example, are in the red.

One of the factors in favour of bullet trains is that there would be a
transfer of technology to Indian industry and we would in time be able to
build fast systems ourselves. There is no mention of transfer of technology
and Japan is known not to guarantee safety unless they build the entire
system.

The proposed Mumbai-Ahmedabad route would have 35 trains a day — one-tenth
that of the Tokyo-Osaka route, that costs $130 (around `8,400) per one-way
ticket or roughly double the airfare. With less frequent trains, the costs
in India would be far higher. And since it is extremely unlikely that the
Railways would be able to fill some 46,000 seats a day (35 multiplied by
1,323) at these rates, the subsidy would have to be stupendous. Needless to
say, this would mostly go to people who politically support Prime Minister
Narendra Modi. A subsidy of about half the fare will mean a loss of Rs 1.91
crores to the Railways every day, or around `700 crores a year.

To get an idea of the magnitude of the costs involved, former railway
minister Suresh Prabhu’s first Rail Budget in 2014 projected a five-year
expenditure of a similar amount for network expansion and strengthening
safety over five years in the entire country. It will be reasonable to
assume that in the light of recent rail accidents, this money was not well
spent. The Railways would be further impoverished for their needs to
support the white elephant of a bullet train, that will be a fancy
showpiece but achieve little else else.

The Indian Railways are the country’s largest public investment, employing
over a million people. Over the decades they have been neglected and have
lost marketshare to other means of transport. A rejuvenation of the Indian
Railways is badly needed, but not through elitist solutions like bullet
trains. Investment in new rails, signalling equipment, rolling stock of
wagons and passenger facilities  and proper management could push up the
utilisation of rail capital, ultimately leading to better services and
faster trains.

But the Narendra Modi government prefers flamboyant high-profile projects
to those that offer the maximum effect on ground. In its eagerness to push
the bullet train, it hides the cost by talking of a “virtually”
interest-free loan from the Japanese government of Rs 88,000 crores. But
this ignores the fact that the loan is in yen, which has a history of
appreciating with other currencies, specially the rupee.

Many other issues arise. Land acquisition is one. The bullet train will run
on dedicated tracks, separate from regular ones, that will have to be
fenced to prevent humans and animals straying on the rails. This will
double the land required and increase costs.

India is a large country with one of the largest and oldest railway systems
in the world. It has skills that have not been allowed to develop. China
built its own huge bullet train system in the 1980s with some initial help
from the Japanese, but largely on its own. The Indian Railways need a major
push to modernise, to have safer and more secure trains, a faster
turnaround of freight traffic, and quicker passenger trains to increase the
total share of passenger traffic, and better stations that provide clean
food and water. We have the ability to do this on our own, and not be led
up the garden path with fancy promises.


-- 
Peace Is Doable

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