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The role of SPV in Transportation Sector

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  • 1. The Role of Special Purpose Vehicle in Transportation Sector: Comparison of Global Models with Indian Cities
  • 2. Population Growth in India India has witnessed a phenomenal growth in urban population. Source: Economic Survey 2009-2010 (www.indiabudget.nic.in)
  • 3. Urbanization in India Source: ADB. 2006. Urbanization and Sustainability in Asia. Manila, Philippines. The pace of urbanization will not be as quick as in other places, but the given the mass the number will be large.
  • 4. Vehicles Growth in India – Present Scenario Source: Road Transport Year Book 2006-07 (March 2009), Ministry of Shipping, Road Transport & Highways, Govt. of India Vehicles Growth in India, 1998-2006 (Figures in Millions) Goods Vehicles 2.54 2.55 2.71 2.95 2.97 3.49 3.74 4.03 4.43 Buses incl. Omni Bus 0.54 0.54 0.56 0.63 0.64 0.72 0.76 0.89 0.99 Two Wheelers 28.64 31.33 34.12 38.56 41.58 47.52 51.92 58.80 64.74 Cars, Jeeps & Taxis 5.14 5.56 6.14 7.06 7.61 8.59 9.44 10.31 11.52 Others (LMV, Tractors, Trailers etc) 4.51 4.90 5.31 5.80 6.12 6.67 6.80 7.44 7.93
  • 5. Urban Transport Scenario Forecast of Vehicle Populations in India (Figures in Million Vehicles) Total on road Vehicle Fuel Consumption (Figures in Million Tons of Oil Equivalent) From 1981 to 2001, population increased in six major metropolises by 1.9 times but motor vehicles increased by 7.75 times. Energy demand in transport sector projected to grow at 5-8% per annum CAGR 6.4% Source: Ministry of Urban Development, GOI Two Wheelers Cars HCV Three Wheelers LCV 49.1 63.9 121.3 246.1 372.7 CAGR 7.0%
  • 6.
    • 2 nd Largest urban system
    • 60% GDP generated from urban areas
    • 5161 towns and cities
      • 7 megacities (4 million + population)
      • 28 cities with population 1-4 million
      • 13 cities in 0.8 to 1.0 million range, will cross 1 million by next census
      • 40 cities in 0.5 to 1 million population range and balance state capitals
    • Motorization rates are high
    • In 6 Metro Cities, during 1981 to 2001
      • Population increased by 2 times
      • Motor vehicles increased by 8 times
    • In 2006, organised city bus service - in only 20 cities
    India - Urban Transportation Scene Source: Ministry of Urban Development, GOI
  • 7. Institutional Structure - Transportation Sector Responsibilities for the development of transport system in India are divided between the central and state governments.
    • Railways
    • National Highways
    • Major Ports and International Shipping
    • Civil Aviation
    • National inland waterways
    • Management of Urban Areas
    • Creation and Management of Urban Transport
  • 8. Departments at State Level At state level, each state has different structure in place, involving various agencies with urban transport. Organizations Functions Land Development Authority Land-use allocation and planning Transport Department Licences and controls all road vehicles, inspection of vehicles, fixing motor vehicle tax rates State Transport Undertaking Operation of bus services Public Works Department Construction and repair of state roads Local municipality Construction and repair of smaller roads, road signage, traffic lights, licensing and control of non-motorized vehicles, clearing of encroachments and land-use planning Department of Environment Monitoring air quality Local city development authority Discharges town planning functions The police Regulate traffic offences Labour department Enforce labour laws
  • 9. National Urban Transport Policy (NUTP) 2006 India launched its first transportation policy in 2006, which focuses on moving people and not vehicles. Promote ITS, cleaner fuel & vehicle technologies for cities Projects to demonstrate best practices in sustainable transport Build capacity to plan for sustainable urban transport Ensure coordinated planning for urban transport Ensure integrated land use & transport planning People focused & equitable allocation of road space Investments in public transport & Non Motorized modes Strategies for parking space and freight traffic movements Establish Regulatory mechanisms for a level playing field Innovative financing methods to raise resources National Urban Transport Policy (2006) Source: “NUTP and JnNURM- Government of India Initiatives to Strengthen Public Transport”, S.K. Lohia, OSD (MRTS), MoUD, GOI
  • 10. JnNURM
    • A mission for integrated development of urban infrastructure services with the assistance of the Centre, state and local bodies
    • Set up with US$ 20 billion outlay to cover 60 cities with a million-plus population in next seven years
    • Objective :
      • Provide basic services to urban poor (housing, water supply, sanitation, slum improvement, community toilets); and
      • Enhance overall urban infrastructure
    Federal Government also launched a new scheme J n NURM (Jawaharlal Nehru National Urban Renewal Mission) to finance urban transportation initiatives.
  • 11. Focus of the Ministry of Urban Development Capacity Building CMP (Comprehensive Mobility Plan ) UMTA (Unified Metropolitan Transport Authority) Public Transport/ NMT Source: “NUTP and JnNURM- Government of India Initiatives to Strengthen Public Transport”, S.K. Lohia, OSD (MRTS), MoUD, GOI
  • 12.
    • UMTAs should function as umbrella bodies that regulate the overall performance of the public transport system and ensure that the cities have comprehensive public transport systems.
    Key Role of UMTA and SPVs in India
    • SPV should function as an execution body, which can plan service needs and own fixed infrastructure and implement projects relating to urban transport and their integrated management
    UMTA (Planning) SPV (Execution)
  • 13. Integrated Public Transport System Strategic Planning Regulatory Provisioning Operations Long term planning Policy-making Setting Fares Safety Regulations Infrastructure Creation Infrastructure Management
  • 14.
    • Strategic Planning
    • Investment, management, operations, policy planning
    • System/corridor planning
    • Financial planning
    • Long and short-term priority setting, decision making for investment, operating subsidies
    • Infrastructure project implementation
    • Service, operations regulation, enforcement
    • Strategic service, operations management
    • Public transport service planning
    • Daily public transport operation, management
    Role of Integrating Transport Agency There are 10 key tasks which an integrating transport agency need to perform: Source: Sam Zimmerman (World Bank), December 2009
  • 15. Global Model Vs. Indian Model Global Model The key difference between the Global and Indian Model is the dual structure - separating the planning and implementation tasks. Indian Model UMTA / SPV UMTA SPV
  • 16. Functions of Different Global Authorities City, State Organization Functions Paris, France Syndicat des Transports d’Ilede-France (STIF) 1 – 8 London, U.K. Transport for London (TFL) 1 – 8 New York, U.S.A. Metropolitan Transportation Authority (MTA) 1 – 10 Vancouver, Canada TransLink 1 – 8 Madrid, Spain Consorcio Regional Transporte (CRTM) 1 – 5 7 – 9 Singapore Land Transport Authority (LTA) 1 – 10 Roma, Italy ATAC 1 – 8 Dubai, U.A.E. Road Transport Authority 1 - 10
  • 17. Functions of Different State Authorities - India State Organization Functions Rajasthan Jaipur Urban Metropolitan Transport Authority (UMTA) 1 – 5 & 7 Jaipur City Transport Services Limited (SPV) 6 & 10 Maharashtra Unified Mumbai Metropolitan Transport Authority (UMTA) 1 - 5 Mumbai Metropolitan Region Development Authority (SPV) 8 -10 Unified Pune Metropolitan Transport Authority (UMTA) -- Pune Mahanagar Parivahan Mahamandal Limited (SPV) 6 & 10 Delhi Delhi Urban Mass Transit Authority (DUMTA) 1 - 5 Delhi Integrated Multi-Modal Transit System Limited (SPV) 1 – 3 & 6 Karnataka Bangalore Metropolitan Land Transport Authority (UMTA) 1 – 5 & 7 N.A. (SPV) -- Andhra Pradesh Hyderabad Metropolitan Development Authority (UMTA) 1 – 5 & 7 N.A. (SPV) -- Tamil Nadu Chennai Unified Metropolitan Transit Authority (UMTA) 1 – 5 & 7 N.A. (SPV) -- Gujarat Ahmedabad Municipal Corporation (UMTA) 1 – 9 Ahmedabad Janmarg Limited (SPV) 10 Madhya Pradesh Indore Municipal Corporation (UMTA) 1 – 9 Indore City Transport Services Limited (SPV) 10
  • 18.
    • The State or City should:
    • Create an authority for all transport issues of metropolitan significance irrespective of mode.
    • Do multi-modal planning/decision-making for all significant public investments in transport.
    • Create legislative, institutional and management changes before real impact (on transportation issues) can be achieved.
    • Have authority over strategic operations, management policies, contract management for public transport (including taxis), highways, arterial roads and parking.
    • Have formal linkages to land-use and environmental planning.
    • Follow sound quantitative and qualitative basis for decisions on strategies, policies, plans, programs, and projects.
    Conclusion & Recommendations
  • 19.