the national assembly standing committee on railways has made several recommendations to steer the...
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The National Assembly Standing Committee on Railways has madeseveral recommendations to steer the department out of its financialtroubles, proposing among other measures, that the Rs 4 billion StateBank overdraft be waived or converted into equity, and that the
government should take over the liability of foreign loans (worth Rs26.6 billion) and pensions funds (Rs 6.50 billion annually). Thecommittee also expressed concern that the government decision tocut developmental programme allocations has badly affected PakistanRailways (PR), and that its budget has been reduced from Rs 13.6billion to Rs 7.3 billion.
It goes without saying that the PR is an essential service and henceneeds to be saved from the mess it has gotten itself into. Towards that
end the government ought to take at least four steps. First, it mustrestore the previous system of a separate budget for the railways thatis presented in parliament and approved by it; second it must cleanthe railways balance sheet of its losses and for doing this onepossible option could be issuance of bonds as done in the case ofWapda and third, it is imperative for the government to undertake arestructuring exercise. The department must be run by a professionalhand rather than political appointees who tend to use it to distribute
jobs to party supporters and sympathizers, thereby overburdening it
with people who have little to contribute but a lot to take out in theform of salaries and pensions. The NA committee whilerecommending restructuring has proposed transparent procedure forthe selection of executive officers. More importantly, it said that theRailway Board should be reconstituted so as to include professionalexperts as its members. Fourth, there ought to be a substantialincrease in the goods to passenger trains ratio. Since train is thecommon man's mode of transportation, fares are generally kept at alow level. The real source of revenue for the railways the world over
are freight trains since they are the cheapest mode of landtransportation and an efficient one, too. We have the example of Indiabefore us, where increase in freight trains has proven to be a majorfactor in making its railways a profit making entity. Considering that atpresent PR faces a severe shortage of locomotives leading todiscontinuation of passenger services on many traditional routes, itwould be advisable at this point to add, as far as possible, freightcarriages to passenger trains. The best hope for the PR's turnaroundis maximising goods transportation. The proposed restructuring effort
must pay due attention to this aspect of the operations.
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Mysterious Facts and Analysis
Tuesday, February 22, 2011
PAKISTAN RAILWAY CRISIS AND ITS SOLUTIONS
Among the means of transportation railways are the cheapest and safest mode for passengers and
goods. It also helps in growth of economy for the country. A plan for a rail system in Pakistan was
first proposed in 1858.A survey for railway line was initiated by Commissioner of Sindh ,Sir Henry
Edward Fere in 1858. It was proposed that a railway line from Karachi City to Kotri, steam navigation
from the Indus /Chenab up to Multan and from there another railway to Lahore and beyond be
constructed. Thus, it was on 13th May, 1861 that first railway line was opened for public traffic
between Karachi City and Kotri, the distance of 105 miles. The line between Karachi City and Kemari
was opened in 1889 and by 1897 the line from Kemari to Kotri was doubled.
Since 1861 when the first railway line was laid down between Karachi and Kotri, the expansion of the
railway network by the British came at a rapid pace up until 1947. The driving factors for this growth
were strategic and economic in nature. For instance to stop the invasion of the Russians from the
West, the British built the Khojak tunnel, the fourth largest at that time, in seemingly inaccessible
areas of Balochistan to reach Chaman railway station. But after 1947, little has been done to expand
and maintain this network.
In Pakistan train were the primary mode of transport until the 1970s, but since then their share has
declined due to a shift in government focus from rail to road transport. From 2005 to 2010,
budgetary expenditure on railways was only Rs45.5bn compared to Rs155bn on the national
highways.
The total length of railway tracks in Pakistan is 5,072 miles (8,163 km). and important railway routes
and details of passenger train and freight in Pakistan are following :
1. Peshawar-Karachi via Rawalpindi- Lahore
2. Karachi to Quetta via Kotri, Larkana and Jacobabad
3. Quetta to Zahidan
4. Rohri to Quetta
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5. Multan to Jacobabad via Dera Ghazi Khan
6. Quetta-Zhob
7.Quetta to Chaman
8.Sibi to Khost
Passenger Train
Passenger traffic comprises 50% of the total revenue annually. During 1999-2000, this amounted to
Rs. 4.8 billion. Pakistan Railways carries 65 million passengers annually and daily operates 228 mail,
express and passenger trains. Daily, PR carries an average of 178,000 people. Pakistan Railways also
operates special trains during occasions such as Eid- ul -Fitr, Eid- ul- Azha and Independence Day.
Freight
The Freight Business Unit, with 12,000 personnel, operates over 200 freight stations on the railway
network. The Unit serves the Ports of Karachi and Bin Qasim as well as all four provinces of the
country and generates revenue from the movement of agricultural, industrial and imported products
such as petroleum oil & lubricants (POL), wheat, coal, fertilizer, rock phosphate, cement and sugar.
About 39% of the revenue is generated from the transportation of POL products, 19% from imported
wheat, fertilizer and rock phosphate. The remaining 42% is earned from domestic traffic.
The Freight Business Unit offers services to meet customer requirements and reduce costs through
efficiency, innovation and modernization. All possible efforts are made to increase revenues and
pass on the benefits to customers. The Freight Business Unit is headed by an additional General
Manager.
The Freight Rates structure is based on market trends, particularly of road transport, which is the
Railways' main competitor. The freight rates are no longer rigid but flexible, depending on the lead,peak-off peak season, and quantum offered.
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A year 1900 view of the Karachi-Kemari Train.
Lahore Railway Station (stands as it was built by the British)
http://2.bp.blogspot.com/-6Fz9I5UJ1BA/TWPL0VPXvFI/AAAAAAAAAGA/hUuO5mlsGhk/s1600/3.pnghttp://3.bp.blogspot.com/-1BNjfh5aqWI/TWPLinqphfI/AAAAAAAAAF8/8HKdS9Ns0TA/s1600/2.pnghttp://2.bp.blogspot.com/-TjLRWH15nds/TWPLWlQlsMI/AAAAAAAAAF4/A-qVWO2EjfU/s1600/1.jpghttp://2.bp.blogspot.com/-6Fz9I5UJ1BA/TWPL0VPXvFI/AAAAAAAAAGA/hUuO5mlsGhk/s1600/3.pnghttp://3.bp.blogspot.com/-1BNjfh5aqWI/TWPLinqphfI/AAAAAAAAAF8/8HKdS9Ns0TA/s1600/2.pnghttp://2.bp.blogspot.com/-TjLRWH15nds/TWPLWlQlsMI/AAAAAAAAAF4/A-qVWO2EjfU/s1600/1.jpghttp://2.bp.blogspot.com/-6Fz9I5UJ1BA/TWPL0VPXvFI/AAAAAAAAAGA/hUuO5mlsGhk/s1600/3.pnghttp://3.bp.blogspot.com/-1BNjfh5aqWI/TWPLinqphfI/AAAAAAAAAF8/8HKdS9Ns0TA/s1600/2.pnghttp://2.bp.blogspot.com/-TjLRWH15nds/TWPLWlQlsMI/AAAAAAAAAF4/A-qVWO2EjfU/s1600/1.jpg -
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The Steam Engine finally resting outside Lahore Railway Station
PR is facing losses due to mismanagement, poor maintenance and weak ticket checks that allow
people to get away with not paying for their tickets. There have also been political interventions in
decision-making about which new routes to open. Furthermore, PR is not allowed to charge a
market-clearing price; fares have always been dictated by the federal government.
According to the National Disaster Management Authority, the heavy floods have caused a loss of
Rs.6.7 billion to the railway network as several hundred kilometers of lines were washed away. The
railway coaches were also the targets of angry mobs and arson attacks after Benazir Bhuttos
assassination resulting in huge losses. Out of 522 total engines only 220 are in working order, out of
which 100 are in poor condition. Ghulam Balour, Federal Minister of Pakistan Railways, has not
made any effort to hide his helplessness over corruption affecting the department and the need for
new locomotives.
The addition into problems of railways began in January 2011 when a cheque for Rs700 million
issued by Pakistan Railways to Pakistan State Oil was not honored. The PSO subsequently stopped
the supply of fuel to Railways. According to a senior officer at Railways headquarters in Lahore some
30 freight trains had to be stationed in yards near major railway stations across the country and only
one freight train left for Muzaffargarh on Sunday. On an average, eight freight trains leave for Sindh
for various destinations daily.Their are not enough funds for payment to PSO for high speed diesel to
keep all freight trains running. The Railways have also not received a single penny from the Rs11.1
billion package recently approved by the cabinet.
I am also confused that if people wants to obtain urgent ticket reservations, they will not get the
empty place in any train, and even on our major holidays i.e Eid- ul -Fitr, Eid- ul- Azha and
Independence day if you want to travel then you must have an advance booking at least fifteen days
or more, and the special trains are other then normal daily routine, innocent and poor people wait
for the trains many many hours more then ten hours and sometime fifteen to twenty hours, and I
have not seen any train to come at time in my twenty five years of life, six to seven hours train late is
the normal routine in our country, why their is no accountability for them, are they not citizen of
Pakistan? while if any air craft late for few minutes, it become the headlines of TV channels,
although the journey taken by the eighty percent (backbone of the country) people of Pakistan, no
one is consolidating at it, why this important institution of government is facing deep financial riddle
after having colossal revenue and other conundrums, where the earnings of this organization are
going, who is taking the compensation of this organization.
Followings are some of the suggestions to improve the condition for railway system of Pakistan:
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1- First of all government should eradicate corruption in railways sector. Corruption is the menace
that is destroying many sectors of Pakistani society.
2- Pakistan Railways should be privatized. This is also the possible solution of problem becausecurrently government of Pakistan has to bear the huge losses monthly. Other benefits of
privatization of Pakistan Railways include the increase in service quality and expansion of Railways
because government has nothing to invest in PR.
3- Government should ask Chinese for help in order to make it profitable organization because China
has made wonderful progress in railway industry. As China did in several other sectors including coal
and nuclear power generation and manufacture of automobiles it has granted access to its
enormous market by insisting on the transfer of technology. It has managed to develop its railway
industry to the point at which it was able to out-compete the established systems in Europe and
North America in winning the contract to build a high speed line connecting Mecca with Medina.
4- India is also making impressive strides in the railway sector. The underground system in Delhi has
won the admiration of many foreign experts for its engineering as well as management. The inter-
city system is being modernized in terms of both the quality of service on offer as well as the new
equipment being used. The Indian and Chinese systems are by far the largest in the world and the
two countries as a result of the advances they are making will come to dominate the world railway
industry and business. Pakistan being a neighbor of these two rapidly growing and giant economies
could benefit enormously from the development of the two systems.
5- Pakistan is blessed with coal reserves and a single Thar coal reserve of Sindh is about 850 Trillion
Cubic feet which is more than oil reserves of KSA and Iran put together i.e. 375 billion barrels.
Chinese and other companies had not only carried out surveys and feasibilities of this project but
also offered 100 percent investment in last 7 to 8 years but the Petroleum Gang always
discouraged them in a very systematic way. If these reserves are exploited properly then the
deficiency of fuel can be catered for the railways.
In conclusion, the best solution of this problem is the privatization of Pakistan Railway. We can take
the example of PTCL; before privatization PTCL's monthly losses were in billions. Today it is not only
a profitable organization but also providing excellent services to the customers. Corruption in
Pakistan Railways can only be removed by privatization of Pakistan Railways.
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This post is written by Umer Inam & Iqra Javed.
Posted by Umer Inam at 2:37 AM
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18 comments:
Natashja de WolfFebruary 22, 2011 11:29 PM
I thought your comments on how to better the railroads good - except I've been hearing some quite
damning assessments of the Chinese high-speed system. The Chinese system has been found
wanting especially in safetly and the manner in which their metal was smelted. If I understand it
correctly - the plans were rushed and now there's a worry that their tracks will start to fall apart. I
hope it can be remedied.
ReplyDelete
Ch Umer InamFebruary 22, 2011 11:32 PM
@Natasha de Wolf, I agree with your observations about Chinese system and absolutely it is correct,
but I guess they are better then ongoing Pakistani system in railway engines, tracks and other
materials, Chinese system is quite cheaper then anyone else in the world and I think also affordable
for a country like Pakistan,
So, it is better to have something rather nothing, because already earnings taken from this
government institutions is going in the hidden bank accounts of our cheap and corrupt management
of Railway. general People are in Panic, eighty percent of Pakistani people have journey to this way,they face colossal trouble due to bloody administration while journey, and astonishingly their is a no
accountability for them, no one is asking.
Pakistan is still unable to obtain the facility of METRO railway system, if they get they are not able to
continue due to the lack of resources, so they have better choice of Chinese railway system
according to his current plight.
ReplyDelete
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Biswajit DuttaFebruary 22, 2011 11:35 PM
The Indian Railways also have similar problems . The finances bleed as successive railway ministers
pay lip service to safety & security & augment train links to their constituencies/states . The annual
railway budgets are used by short sighted populous railway ministers to play Santa Claus . Passenger
fares in the second classes are mostly left untouched & only the upper class/AC fares are marginally
increased . The revenue losses on this account are sought to be met by hiking freight rates year after
year leading to further erosion of railway freight traffic share to road transport . There is hardly
much addition to new lines , renewal of rolling stock & investment in safety devices . Train accidents
& heavy casualties are rampant . The Indian Railways , which is also the largest employer , exhausts
most of is budgetary allocation & revenues on salaries leaving little surplus for track renewal . It is a
drain on the national exchequer & some urgent rail reforms are necessary to improve situation .
ReplyDelete
Sandip DattaFebruary 22, 2011 11:40 PM
I was under the impression that CIL was the largest employer in India. One a side note, the railways
are the most efficient form of transport in India, in terms of mile-tonne traveled per unit of fuel
consumption. It is also probably the ch...eapest in the world. Rampant ticket-less traveling over
loading of freight eats away at the profit of the railways.
Anecdotal tidbit:
1. Lal Bahadur Shastri was the Rly minister before he became the PM (after Nanda's interim stint)
2. LN Mishra the sitting railway minister was killed in the blast in Samastipur in the 70's before the
Janata Party came to power. Evidence pointed to George Fernandes as one of the plotters.
3. Madhu Dandavate during his railway minister ship, introduced 2 inches of foam on all 3tier
sleeper seats, the biggest comfort for traveling aam aadmi.
4. Jaffar Sharif (was a driver for a Karnataka CM according to one of my Kannada buddies) became
the railway minister and Karnataka boomed.
5 ABA Ghani Khan Chowdhury did a whole lot for Malda railway infrastructure (being his
constituency).
6. Nitish Kumar took the ERly headquarters from Howrah to Kishangunj (naturally, he is from Bihar)
7. Lalu brought new style of management of railways (switching from plastic cups to earthenware fortea being one such move). He was probably the most effective Rly minister lately (Lalu economics
anyone?).
8. Mamata took the Railway portfolio, but is neglecting it, she is more interested in State politics
than the ministry. She introduced monthly tickets for Students traveling on Calcutta Metro, the
monthly ticket graphics look strikingly similar to her TMC emblem. She had the hair-brained idea of
naming railways stations as Uttam Kumar and Khudiram ( I don't know where the h*ll these places
are- I wanted to go to Garia)
In the meantime hundreds of railway posts remain vacant.
To learn more about Indian railway go to www.irfca.org
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ReplyDelete
Biswajit DuttaFebruary 22, 2011 11:41 PM
Coal India is the largest employer among companies listed in the stock exchange . Indian Railways is
the biggest employer , overall .
ReplyDelete
AnonymousFebruary 23, 2011 5:15 PM
very well observed and written.. I have not much idea about railway tracks and transportation,still
the fact and figures shown in your article above and in following arguments /comments on it was
quite frustrating ,how those corrupt government and the management are sucking the blood of their
countryman... seems like they are vampire who feeds on human blood.. they wont let us have a
better world to live in.
well bro keep doing your gud work ,and awareness in others like me .... never give up
implementing/applying these solution to overcome crisis we have.
ReplyDelete
FaheemFebruary 23, 2011 10:00 PM
The writer has done a good analysis of PR systems,but has not touched on the core issues like poor
cash flow,old age staff,poor performance of Chinese locomotives,late running and closure of trains,
and of course poor maintainance of tracks,bridges and safety standards.The Railways was destroyed
by Mr Sheikh Rasheed, when he was the Minister of Railways, as he operated new trains almost
every month just to please the President, without realizing that there were no resourses to operate
the new trains.It resulted in a total collaspe and an unrecoverable financial loss, which broke the
back bone of the Railways.For the Railways toimpove its performance and cash flow, it must do the
follwing immediately to come out of the doldrums. 1)Expand tickets reservation period from present
15 days to 4 months.This will generate additional cash immediately.Like in America, early days ticket
should be expenses and delayed tickets should be cheap.2)Induct young blood in the organisation as
70% of the employes are about to retire in near future, and they are only concerned for their
retirement benifits including how to occupy the railway house.3) Request India to lease locomotives
to Pakistan on installements.If India agrees,the objective can be achieved withen months, as line
connection is already there and the locomotives can be easily maintained at Lahore or Atari.4)Every
DS has a Deputy DS.All mail trains run at night in almost every Division.At that time, all the 600
Railways officers are in there bed and all mail trains are in the hands of the controller, of all theDivisions .Deputy DS and his team should work from 2PM onwards daily to monitor the progress of
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all the trains.DS and his team should handle the morning shift rather than both working on the same
timing with very low productivity.By doing this, I am positive the results are going to be mind
blowing.5)The job of the Marketing Department is to create Vision ,Mission and Objectives for the
organisation and of course new profitable customers/consumers, rather than just selling lands to
there friends such as Canal Bank and Hall Institute at dirt cheap prices.Train names should be sold to
Multi National Companies to generate quick cash ,such as,Surf Express,Lipton Express and many
more.On these lines wonders can be achieved, if thought fully implemented. I hope my suggestions
have made some sence, and if I could be of any use for Pakistan Railways,I am always available.
Faheem Akhoond.Houston Texas USA. Cell# 001 832 618 2867
ReplyDelete
Mian Iftikhar AhmadFebruary 23, 2011 11:16 PM
http://www.facebook.com/pages/A-New-Tehreek-e-Azadi-Pakistan/200467726632083
...
Join us for better Pakistan
ReplyDelete
Iqra JavedFebruary 24, 2011 2:33 AM
@Anonymous Thanks for your appreciation and as a freelancer its our duty to spread awareness
about issues of Pakistan but our corrupt government dont pay any heed to our suggestions and
make improvements.
@ Faheem Thanks for your suggestions but how can u say Chinese locomotives have poor
performance??.China is no doubt better in technology and it has far better performance in Railways
system.It is also affordable for country like Pakistan.
ReplyDelete
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Ch Umer InamFebruary 24, 2011 7:29 AM
@Biswajit Dutta, Dutta g, Indeed we have many similar problems, but I still commend the IndianRailway management specially the government who bring the METRO system in New Delhi (Don't
know who bring this system in India but I think they bring for the people of India) if I am not wrong
you have this facility in India more then last five years, corruption is everywhere in the world even
USA, Canada, UK and the rest of western world are not dirt free to this disease but I think they don't
believe at 100 % sleaze, they always tried to help out their people with some pragmatical steps of
development in any sector.
I also believe that the increase in fears is not the solution of this problem either in India or Pakistan
because already this institution generating lots of revenue in both countries, mostly people have
journey always through rails it is cheaper and affordable for ordinary people (aam admi), the basic
problem is the utilization and counter check of this revenue earning by railways, if the governments
spend its own income at Railways, hope then too we can make it better.
Present Pakistan railway minister Bashir Ahmed Balour, he is totally incapable to even speak and
ameliorate about the issues and problem facing by his ministry, I remember one time he gave very
irresponsible statement when he said, Pakistan railway system would not be perfect and mild ever,
wow ! and another time he said two mafia gangs have hold at this very important institution of
Government and he is helpless to take any action against them, and interestingly he is still existing
the railway minister office, how you anticipate good outcome from the performance of Railwaywhile minister himself is enfeeble.
Pakistan and India almost have same culture, the basic problem is our rulers, If I am not mistaking I
would say that they are unaware and even some are uneducated then too they are in ministries or
government, because of feudalism, if someone father/mother in politics then later his son/daughter
would replace him/her it will become the tradition of whole family, thats why new and talented
people are not coming in front because they have no resources, and I want to say,
"Politics is the life time business if you invest one time then you and your family will govern life
time."
@Sandip Datta, Thanks for sharing information about Indian Railway ministers and their
performance, can you tell about the METRO System in India when and from where it comes in India
and which political party was in regime while this system introduced ?
ReplyDelete
Khalid BilalFebruary 24, 2011 8:57 PM
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Ch. Sahib! Read and what to write that all know? Anyway, it is a wonderful report and I am sure that
something would be done in right direction. Well done.
Regards.
ReplyDelete
Fakher KayaniFebruary 26, 2011 12:55 AM
Very informative and thoughtfull post. Pakistan has a lot of natural resources and huge skilled
manpower but who will utilze the same because we cannot hope from our present leaders and
system. But it does not mean that we stop working, we may contnue our efforts and may devlop us
into a discipline and true muslim society. If we achieve this goal, Inshallah system will be changed.
ReplyDelete
hasandevelopmentjournalistMarch 7, 2011 10:59 AM
Mr faheem ... You did a logical and Argumentative Analysis and the suggestion are really
implementable and practical..
Regards
Hasan Javaid
ReplyDelete
sewat mehdiAugust 11, 2011 3:29 AM
thoughtful nd implemntable postz.....
ReplyDelete
AMINAugust 23, 2011 1:50 AM
An emergent situation is caused by size and leakages in Railways. If revenues are leaked, blood does
not flow back to heart, what will heart pump...air... I believe tickets that we buy in trains are fake
books kept by ticket checkers, guards... 100% loss .... why they refuse tickets at station window, is
this reason. Secondary passengers, entraining in between also pay them partial amounts... Workers
only hang their attendance and leave for work elsewhere. Chinese substitution had introduced
novelty, not liked by our lords... UK, Germany and Japan.... Not only engines, rails , bogies, andtechnology transfer was arranged by some sincere officers in Pakistan Railways like Aurangzaib Khan,
http://chumerinam.blogspot.com/2011/02/pakistans-railway-crisis.html?showComment=1298710551516#c5739128518617968253http://www.blogger.com/profile/09213893001959396366http://www.blogger.com/profile/13820283814964871613http://chumerinam.blogspot.com/2011/02/pakistans-railway-crisis.html?showComment=1314089422182#c7601745988686776478http://chumerinam.blogspot.com/2011/02/pakistans-railway-crisis.html?showComment=1314089422182#c7601745988686776478http://www.blogger.com/profile/13820283814964871613http://www.blogger.com/profile/13820283814964871613http://www.blogger.com/profile/09213893001959396366http://www.blogger.com/profile/09213893001959396366http://chumerinam.blogspot.com/2011/02/pakistans-railway-crisis.html?showComment=1298710551516#c5739128518617968253 -
7/30/2019 The National Assembly Standing Committee on Railways Has Made Several Recommendations to Steer the Department Out of Its Financial Troubles
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GM. Personal experiences speak volumes for such officials who were at heart of introducing Chinese
factor.
ReplyDelete
AnonymousOctober 20, 2011 10:33 PM
i think gov. take help from china.
ReplyDelete
AnonymousNovember 18, 2011 12:59 AM
Thanks alot.. your post has been very helpful for my assignment... :)
ReplyDelete
hassan gulDecember 18, 2011 8:37 AM
as there is a lot of coal reserves in Pakistan so the first effort should be for the utilization of our ownresources.it is also necessary to eradicate corruption for the betterment of Pakistan railway
ReplyDelete
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