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Wagons were never in Shortage for Coal Loading : Railways

INVC,, New Delhi,, The Ministry of Railways in a statement issued today has categorically stated that wagons were never in shortage for coal loading. In coal loading, Indian Railways have registered a growth of more than 7 per cent in the year 2009-10. The growth in overall freight loading is estimated to be 6.5 per cent over the previous year. Indian Railways surpassed its original budgeted target of 882 million tonnes of freight loading for the year 2009-10. Referring to media reports regarding Railways not providing sufficient rakes to Coal India Limited (CIL), the statement said that this is not true and has not been put in correct perspective. It has been emphasized that Railways achieved a coal loading of approx. 179 rakes/day in March 2010 itself for CIL. Railways pointed out that this has been achieved despite inclement foggy weather conditions in January 2010 in Northern Region and deteriorating law and order situation in the Eastern States which hampered Railways’ operations substantially. Giving the background of the loading arrangements between CIL and Railways, the statement mentions that Coal India Limited shifted from a linkage regime to a Fuel Supply Agreement (FSA) regime in the current year. It had been decided by an Inter-Ministerial group that all FSA’s will be routed through the Ministry of Railways for taking into account logistics issues. This was however not complied with by CIL, thereby hampering Railways planning for movement. In the FSA’s, it has been envisaged that the total dispatches for the entire year would be broken up into the following proportions : 25 per cent (1st Quarter), 22 per cent (2nd Quarter), 25 per cent (3rd Quarter) and 28 per cent (4th Quarter). The requirement of rakes for loading by CIL for the entire year was approx. 175 rakes/day which as per their FSA’s translated into loading of 175 rakes/day (1st Quarter), 170 rakes/day (2nd Quarter), 175 rakes/day (3rd Quarter) and 180 rakes/day (4th Quarter). Due to major problems of transportation from CIL’s mine to Railway sidings, CIL could only load 153.6 rakes/day (1st Quarter), 145 rakes/day (2nd Quarter) and 162 rakes/day (3rd Quarter) even though rakes were available for loading. Thus the net requirement of rakes in the 4th Quarter accumulated to more than 200 rakes/day as against their original requirement of 180 rakes/day in the 4th Quarter. Railways achieved a loading of approx. 179 rakes/day in March, 2010. Transportation capacities lost in the first 6 months cannot be made good in a bunched manner in the last period. Railways had to also evacuate approx. 21-23 million tonnes of imported coal for Thermal Power Station which was an increase of approx. 7 million tonnes over last year in view of CIL not being able to provide adequate coal to customers. Rakes thus had to be deployed also for evacuation of imported coal for Thermal Power Stations which primarily arrived at Indian Ports in the 4th Quarter. Also. In totality, the growth of loading of coal was more than 7 per cent over the previous year. Although, CIL has projected a sharp increase in stocks, this has not materialized into increased loading in the first week of April 2010. Approx. 30 rakes/day are idling due to CIL’s inability to load upto full potential in the 1st week of April 2010. As against a projected requirement of 190 rakes/day, the loading has been only 160-162 rakes/day despite adequate availability of rakes. It appears to be a repeat scenario in the coming year also. The Ministry of Railways has already highlighted this issue to the Ministry of Coal.

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