Dedicated freight corridor to bring down freight charges by 50%

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Dedicated freight corridor is expected to bring down the freight charges by 50% when it will become operational in 2021, a top DFCCIL official said. Dedicated freight corridor project is part of the Golden Quadrilateral connecting New Delhi, Mumbai, Chennai and Kolkata.

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  • During a 2-day construction site visit of Eastern Dedicated Freight Corridor (EDFC), DFCCIL Managing Director Anurag Sachan said the haulage charges on Dedicated Freight Corridor Corporation of India Ltd network will be 50% lower compared to the freight tariff in the Indian Railways (IRs).
  • He said,”We will be running all the trains at 100 kilometres per hour (kmph) on a fully automated signal system, so the haulage charges compared to the IRs will be very less. It will be 50 per cent. We will be running 120 trains each way a day with total carrying capacity of 13,000 tonne. So, we will not let this capacity to be under utilised.”
  • He said that the DFCCIL is in talks with the Ministry of Railways that some part of lower freight charges should be passed on to the customers.
  • However, he clarified that it will be on the regulatory body for the sector to fix the charges.
  • The official said,”As so much capacity is being created and so as per the concession agreement with the Indian Railways, we will also allow private players to come and run their own trains.”
  • “There will be a regulatory body, like in the developed countries, and there will be a non-discriminatory access to these private players to operate. So, there will be a very fair competition between private players and the Indian Railways.”
  • He said,”They will be at par. So, I am sure that with these kind of transparency, the freight charges will come down.”
  • The DFCCIL, a public sector undertaking under the Ministry of Railways, is currently engaged in constructing the EDFC and the Western Dedicated Freight Corridor (WDFC).
  • EDFC will cover a length of over 1,800 kilometre between Ludhiana to Kolkata, while WDFC will ply between Dadri and JNPT port in Mumbai (1500 km).
  • The two corridors are expected to be completed by December 2021.
  • The portions which have been completed along these corridors are already being operationalised for the automated running system.

Future corridors-

  • DFCCIL will start survey of the remaining corridors of the Golden Quadrilateral, and begin work by the time the western and eastern corridors are completed by December 2021, the official said.
  • He said,”The government, after seeing the progress on these two corridors, have decided that it is the right time that we should plan to take up the future corridors so that by the time we finish these in two years, these corridors are also planned for execution.”
  • Three more corridors are lined up-
    • East Coast corridor from Kharagpur to Vijayawada (about 1,000 kilometres)
    • South-East to West corridor from Bhusawal to Dhankuni (near Kolkata)
    • North South sub-corridor from Vijayawada to Itarsi (in Madhya Pradesh)
  • The total length of these three corridors is about 4,000 kilometres.

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