Govt plans ropeways, funicular railways
3 min read 24 May 2023, 10:58 PM ISTGadkari outlined plans to revamp the public bus system by implementing a new boarding and alighting process.
PremiumNew Delhi: Road transport and highways minister Nitin Gadkari on Wednesday unveiled extensive proposals for the development of India’s transportation infrastructure, including ropeway and funicular railway projects, as well as 500 new bus terminals to support the goal of having 200,000 electric buses.
Gadkari told an event organized by the Confederation of Indian Industry (CII) that his ministry has placed proposals for 260 ropeway and funicular railway projects worth ₹1.3 trillion. In addition, plans have been drawn up to establish 500 bus depots, for which the minister sought investments from prominent industrialists.
Gadkari outlined plans to revamp the public bus system by implementing a new boarding and alighting process. Under this system, passengers would enter and exit buses through the front door, using smart cards instead of traditional tickets.
The minister also said he intends to introduce a scheme that would encourage private companies to participate in running public buses, citing the success of the London transport model, where nine operators handle bus services.
Highlighting the economic benefits of electric buses, Gadkari said the cost of operating a diesel bus is ₹115 per kilometre, while recent tenders have resulted in prices as low as ₹39 for non-AC buses and ₹ 41 for AC buses running on electricity.
To support the adoption of electric buses, the ministry of power’s Convergence Energy Services Ltd manages the national e-Bus programme, which pools the demand for electric buses from state governments and conducts the tendering process, ultimately reducing costs.
Despite ongoing efforts to procure 50,000 e-buses, the industry response to the tenders has been lacklustre. Consequently, the ministry of road transport and highways intends to introduce a new system to attract private operators and make the procurement process more appealing.
Further, Gadkari emphasized the government’s commitment to reducing logistics costs, which currently account for 14-16% of India’s Gross Domestic Product (GDP). Through the national logistics policy, unveiled last year, the government aims to bring down logistics costs to single digits as soon as possible. The minister said lower logistics costs will lead to increased exports, in turn generating more job opportunities.
In a call to industry leaders, Gadkari invited investments in building 670 roadside amenities along highways, including industrial clusters and logistics parks. With agriculture production and exports witnessing significant growth, the establishment of precooling and cold storage plants on a large scale within logistics parks becomes essential.
As part of the comprehensive transportation development plan, the government has identified 500 bus ports, similar to airports, that will serve as key transportation hubs.Gadkari also highlighted the promising internal rates of return associated with the schemes proposed, urging the private sector to seize the burgeoning investment opportunities within the transportation sector. He emphasized that entrepreneurship and sufficient investments play a vital role in realizing Prime Minister Narendra Modi’s vision of transforming India into an economic super power.
Highlighting the economic benefits of electric buses, Gadkari said that the cost of operating a diesel bus is ₹115 per kilometre, while recent tenders have resulted in prices as low as ₹39 for non-AC buses and ₹41 for AC buses running on electricity.
To support the adoption of electric buses, the Ministry of Power’s Convergence Energy Services Ltd manages the National e-Bus Programme, which pools the demand for electric buses from state governments and conducts the tendering process, ultimately reducing costs.
Despite ongoing efforts to procure 50,000 e-buses, industry response to the tenders has been lacklustre. Consequently, the Ministry of Road Transport and Highways intends to introduce a new system to attract private operators and make the procurement process more appealing.
Furthermore, Gadkari emphasized the government’s commitment to reducing logistics costs, which currently account for 14-16% of India’s Gross Domestic Product (GDP). Through the National Logistics Policy, unveiled last year, the government aims to bring down logistics costs to single digits as soon as possible. The minister highlighted that lower logistics costs will lead to increased exports, consequently generating more employment opportunities.
In a call to industry leaders, Gadkari invited investment in the construction of 670 roadside amenities along highways, including industrial clusters and logistics parks. With agriculture production and exports witnessing significant growth, the establishment of precooling and cold storage plants on a large scale within logistics parks becomes essential.
As part of the comprehensive transportation development plan, the government has identified 500 bus ports, similar to airports, that will serve as key transportation hubs.
Gadkari emphasized the promising internal rates of return associated with the schemes proposed, urging the private sector to seize the burgeoning investment opportunities within the transportation sector. He emphasized that entrepreneurship and sufficient investments play a vital role in realizing Prime Minister Narendra Modi’s vision of transforming India into an economic superpower.
