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The Sad story of the Indian Railways

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The Indian railways’ network is one of the largest in the world and the second largest in Asia, next only to China. To put things into perspective, India is the seventh largest country in the world, a third the physical size of its neighbour, China. The Indian Railways is entirely owned by the Government of India and is operated by the Ministry of Railways. It operates several hundred Express,

Superfast & Passenger trains on a daily basis. It also has the responsibility of operating a number of local and urban trains. Over 22 million people utilize the Indian Railways every-day to commute to their destinations. The Indian Railways network is a mix & Mash of Broad, meter and narrow gauges. At the same time, diesel engines ply alongside electric engines all the while steam powered engines are still being phased out. The world’s eighth largest employer, over 1.4 million Indians get their paychecks from the Indian Railways, which employs more personnel than the Indian Army. In spite of corruption, nepotism, red-tape bureaucracy and political wrangling, the Indian Railways is the link that joins the entire nation. It is the very chain that binds us as a nation, a glue that keeps us together and a welcome sight for the sore eyes of the millions of the improvised folks who have gone to distant places to earn a two-time meal. The railway in India evokes the warm memories of home. All commuters of the Indian Railways are witness to the very thought of unity in diversity, the good old virtues of sharing and caring, the idea of a healthy debate, the nostalgia of cold air hitting the face and the cacophony of the million myriad small worlds that home in a gigantic canvas of our nation. The railways in India evoke the essence of being an Indian.

However, in the recent past, the Indian Railways has started hogging in the news for some very serious accidents. Train derailments, a rarity in the past has become commonplace. Every day, some or the other train is found to derailed or overturned, causing a great loss of time, revenue and sometimes, human lives too. A Railway Minister offered his resignation on successive fatal train derailments. His resignation was rejected but he was transferred to another Ministry in the recent Ministry shuffles. While official investigations are ongoing, sections in the media and common populace have placed the blame on a plethora of factors ranging from a lack of communication between various stakeholders, worn out tracks to even hooligans cutting tracks to instil terror. Not only train derailments, the Indian Railways is plagued by various issues ranging from quality control in food provided on board its trains, the overcharging for standard products by attendant staff to whole scale server crashes while ticket booking. It is often said that booking a Tatkal ticket( an emergency ticket booked in the 24 hours before the train’s departure) has become the 3rd most difficult thing to do in India, the first two obviously being marrying your love and getting yourself selected in the prestigious 3Is (IIT-IIM-IAS).

There is a lot of noise being generated that railways is over-charging or even outright, fleecing its customers. Prima facie, it appears to be the case. Tatkal tickets routinely charge 2-4 times the amount of the conventional fare and dynamic pricing has made some train tickets as expensive as flight tickets. But who is to blame for this? Why are the Railways forced to charge absurd rates for even small routes? Why is there not a rational pricing mechanism in place for the railways?

The blame rests squarely upon successive governments and railway ministers who used the Indian railways as a vote fetching tool and nothing more. Projects and trains were always sanctioned to the home states and districts of the executive and factories set up in constituencies of the crème-la-crème of the administration to sway public opinion, without any consideration being given to profitability or revenue rationalization. The Rail Coach Factories sanctioned at Lalganj in Uttar Pradesh and in Bihar are a testament to this politicking.  Successive governments withheld or withdrew increasing passenger rates (due to public outcry and cement their pro-poor positioning) and increased freight rates (why cares about Industries anyway?). In a way, this was justified. The Indian Railways is a government undertaking meant for the benefit of the Indian Citizens. The passenger fares had to remain low and sustainable so that entire India could rely on the railways for transport. But in a demonstration of very poor political economics, successive governments did not hike the railway passenger fares even when circumstances could have dictated otherwise. In one famous incident, a railway minister was sacked by his party chief who was in a coalition with the ruling dispensation for daring to effect a modest hike in the passenger fares. Yes, even today Indian Railways charges pennies for distances and on most routes, its conventional fares are a fraction of the Roadways and the railways. For examples, on the Lucknow-Delhi route, for the roadways, the fares vary from Rs 550/- (for a general purpose bus) to Rs 1450/- (Applicable for Scania like High-end buses). The conventional railway fare is Rs 185/- (for a second seater- akin to a General purpose bus), Rs 350/- (for a sleeper’s berth where you can comfortably sleep and stretch your legs) to Rs 1300/- (for a cozy 2nd AC coach seat) for the same 640 km stretch. Over and above this, Railways also provides concessions for children and senior citizens. A flight ticket on the same stretch costs around Rs. 1500/- and much more, depending on the demand and the date. Even a Tatkal ticket for the same route costs in the neighbourhood of Rs 2000/- which is comparatively well-priced if you compare the comfort and speed of the railway service. Furthermore, the railways lose a substantial sum on every conventional fare ticket booked. This, along with the massive ticket-less travelling and corruption, forces the Indian Railways to ask for subsidies and dole-outs from the Indian exchequer. Hence, as evident from the above numbers, there is an urgent need to increase the passenger fares or the railways has to come up with alternative ways to increase revenue. Tatkal tickets, dynamic pricing, increasing revenue from advertising are some of the ways the railways can improve the cash flow.

The freight operations, once the cash cow, of the Indian Railways, has now been sucked dry and freight rates, which were earlier competitive with the road transport is now reeling under multiple blows of successive hikes and has been highly uncompetitive. In the fiscal year 2015-2016, Indian Railways posted the lowest revenue growth since 2010-11. The Revenue growth in 2015-16 was just 4.6%, much lower than the 10-19% growth the national carrier registered in the previous four fiscal years and hoped to replicate. These facts will be a dampener for hopes that the railways will buttress the government’s capital expenditure plans and its future expansion plans.

The freight volumes are falling.  This is a major cause of concern as the railways generate three-fifths of its revenues from freight. This is undermining revenue growth. The weak revenue trends reflect the subdued economic activity. Cement, Coal and container traffic, in particular, fell.  The slump in revenue growth is also partly due to the uncompetitive position and impractical mess the railways has got itself into. Successive tariff hikes (courtesy, the earlier budgets) and the rapid & sustained fall in diesel prices has helped the roadways to become competitive, especially in the lucrative short-haul freight traffic. Experts point out that Rail-road freight tariff variation has reached a tipping point now as the fall in diesel prices and improvement in road infrastructure has made rail freight transportation a far less attractive proposition.

While we may find it very convenient to vent out our ire on the Railways for what we believe is the arbitrariness of the pricing mechanisms but the truth remains, the Indian Railways is under-funded, over-staffed and highly essential for our country. Let us not forget that for every Tatkal ticket which we claim is over-priced, many more underpriced tickets are also sold and several more, travel without a ticket, causing a loss of revenue and a dent in the finances of the Indian exchequer. This is the sad story of the often-abused Indian Railways.

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South Asia

Excellency Narendra Modi when will you become Affectionate Neighbour?

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Slavery was abolished in Islam 1500 years ago. Against this backdrop the Muslims of Indo-Pak subcontinent revolted against the “British Rule” to get rid of their clutches / slavery. The Muslim political thinkers and Ulemas reached to the conclusion that Muslims cannot live with Britishers and Hindus on the basis of “Two Nation Theory” in line with Allama Muhammad Iqbal (late) and Sir Syed Ahmad Khan (late) political wisdom. The revolt against British was culminated into “War of Independence” in 1857. This laid stone and paved the way for an Islamic state now known as “Pakistan”. The Hindus were also benefited with the creation of Pakistan and thereafter a Hindu sate “India” also came on the world globe. After the independence in 1947 Pakistan is maintaining cordial relations with neighbouring and other countries of the world. Unfortunately the Hindu psyche and their Slave Mentality could not be changed even after 70 years and the Indians still owe allegiance from core of their heart to her Majesty the Queen of Great Britain (UK). Even today the Indian Prime Minister HE Narendra Modi pay homage to British Government and submit reports on  daily basis. The classic example is the recent visit of Narendra Modi to London (April 2018) in which he in a question and answers session at Central Hall Westminster (London) revealed before the audience regarding surgical strikes carried out by Indian Army against Pakistani troops deployed along LoC.

Indian PM in a bid to muster support and financial assistance from British Government for his forth coming election’s 2019 propagated and boosted his concocted version that Indian authorities kept on calling Pakistani counterparts in Islamabad to collect dead bodies of Pakistani soldiers from LoC. The information disseminated to the Britishers against Pakistan was false and far from truth.

Unfortunately, the Indian Intelligence Agencies, its Army and Foreign office have made it a routine to interfere in the internal matters of the peripheral countries in a bid to accomplish  their hegemonic designs which the Indian leadership has been claiming  from time to time including Narendra Modi false / tall claim of creation of Bangladesh in 1971. The Indian Army is also following the foot prints / aggressive policies of Indian political leadership. General Bipon Rawat (Indian Army Chief) and Lt Gen AK Bhaat, Corps Commander Srinagar in their media briefings have been threatening Pakistan Armed Forces and Kashmiri Muslim freedom fighters / organizations of dire consequences, they committed atrocities / brutalities on the innocent Muslims / minorities by using lethal weapons including Anti-Tank Guided Missiles, Mortar guns and chemical agents.

India to fulfill its hegemonic designs in South Asia and enhance its influence, the Indian Defence Minister Mst Nirmala Subramanian visited various foreign countries to purchase military equipment worth US 5.6 billion including SA-400 missile system F-35 fighter aircraft from Israel and 80 MI-70 helicopter to augment mobilization of Indian troops and LEA’s to crush innocent Muslims of IHK and Sikhs of Khalistan movement. Indian government in addition to further enhance the barbaric activities of its  intelligence / security agencies, RAW, Intelligence Bureau, Bureau of Investigation, Special protection group and National Security Guards are allowed to import i arms, / ammunition, telescopic silencer short guns, with night vision capabilities and hand grenades from US / Israel without the scrutiny and permission of Indian parliament and Indian Defence Ministry. These sophisticated arms / ammunition will be smuggled and supplied to various terrorist groups in Pakistan, Afghanistan and Nepal by RAW / MOSAAD / CIA. In Nepal RAW has established a front organization by the name of Islami Sangh Nepal and in Bangladesh Faleh-e-Insaniyat Foundation to impart training to terrorists in fabricating improvised explosive devices. The arms / ammunition are also supplied from RAW establishments to dissident / terrorist groups to carry out violence and instability in the peripheral countries.

Excellency Modi we have tried to highlight the chronological   sequence of events  and nefarious activities being carried out by your Government, Senior Army officers, RAW / Intelligence Bureau and Law Enforcing Agencies. The scrutiny / analysis for the reasons behind aggressive behavior pattern / attitude are the outcome of Hindu mechanism of hereditary, aggression, frustration and anxiety in Indian society. They have fallen prey to psychotic disorder and negative Edipis Complex. To live in the “Global Village” of civilized nations it is high time on the part of Indian Government to change its policies and attitude in order to prove themselves as a civilized mature and affectionate nation towards its neighboring countries.

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South Asia

What to do with Pakistani militant Hafez Saeed? Pakistan and China grope for ambiguity

Dr. James M. Dorsey

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Recent remarks by several senior Pakistani officials suggest that Pakistan and China are groping with how to deal with globally designated Pakistani militant Hafez Saeed as the South Asian nation gears up for elections expected in July and risks being next month put on an international terrorism finance and money laundering watchlist.

The Pakistani-Chinese dilemma stems from a China-backed Pakistani refusal to fully implement designations of Hafez Saeed by the United Nations Security Council and the US Treasury.

The United States has put a $10 million bounty on the head of Mr. Saeed, who is believed to lead the outlawed militant group, Lashkar-e-Taiba (LeT) as well as Jamaat-ud-Dawa, an alleged LeT front, and is suspected of being the mastermind of the 2008 Mumbai attacks in which 166 people were killed.

Pakistan has repeatedly put Mr. Saaed under house arrest, only to release him on court orders that asserted that there was insufficient evidence against him. The government has half-heartedly sought to seize Jamaat-ud-Dawa assets and prevent it from collecting donations through its charity arm, Falah-i-Insaniat Foundation.

Pakistan’s election commission has so far refused to register a political party established by Jamaat-ud-Dawa in advance of the elections. The refusal would not prevent party members from running as independents.

To reduce focus on Mr. Saaed, a senior aide to Pakistani Prime Minister Shahid Khaqan Abbasi said that Chinese President Xi Jinping had asked Mr. Abbasi during a meeting on the side lines of last month’s Boao Forum to explore relocating Mr. Saaed to a Middle Eastern country.

“At a 35-minute meeting, at least 10 minutes of the discussion dealt with Saeed. The Chinese President was keen on pressing the Prime Minister to find an early solution to keep Saeed away from the limelight,” The Hindu quoted the aide as saying.

In separate remarks, Major General Asif Ghafoor, a spokesman for Pakistan’s intelligence service, Inter Services Intelligence, told Indian Express that “anything (Mr. Saeed) does, other than violence, is good. There is a process in Pakistan for anyone to participate in politics. The Election Commission of Pakistan (ECP) has its rules and laws. If he (Mr. Saeed) fulfils all those requirements that is for the ECP to decide.”

The divergent proposals to either remove Mr. Saeed from the limelight or mainstream him by integrating him into the political process are unlikely to satisfy either the United Nations or the United States.

They are also unlikely to prevent the Financial Action Task Force (FATF), a global financial watchdog that monitors the funding of political violence and money laundering, from next month putting Pakistan on its watchlist.

The FATF action could negatively affect the Pakistan economy. Pakistan risks downgrading by multilateral lenders such as the International Monetary Fund (IMF), World Bank, and the Asian Development Bank (ADB) as well as by international credit rating agencies Moody’s, Standard & Poor’s and Fitch.

Mr. Xi’s suggestion to Mr. Abbasi reflects Chinese ambivalence towards those Pakistani militants that both Islamabad and Beijing see as useful tools to keep India off balance. China protected Mr. Saeed from UN designation prior to the Mumbai attacks and has since prevented another Pakistani militant, Masood Azhar, from being designated by the Security Council.

At the same time, China refrained in February from shielding Pakistan from censorship by FATF.

A Chinese foreign ministry spokesperson nonetheless argued at the time that “in recent years, Pakistan has made important progress in actively strengthening financial regulations to combat terror financing… China highly recognises that and hopes all relevant parties of the international community could arrive at an objective and fair conclusion on that.”

Implementing Mr. Xi’s proposal to remove Mr. Saeed from the limelight is easier said than done. Its hard to see what Middle Eastern nation would risk international criticism by granting Mr. Saeed asylum without tacit approval by the United States and/or the United Nations. By the same token, its unlikely that either would agree to the scheme.

Similarly, neither the UN nor the United States are likely to be persuaded by a belief within the Pakistani military that the best way of blunting militancy that has over the decades been woven into the fabric of significant segments of the armed forces, intelligence and society is by mainstreaming militants and integrating them into the political process.

Ousted Pakistani prime minister Nawaz Sharif kicked up a storm when he earlier this month appeared to confirm the pervasiveness of militancy by suggesting that the perpetrators of the Mumbai attacks had been supported by Pakistan.

“Militant organisations are active. Call them non-state actors, should we allow them to cross the border and kill 150 people in Mumbai? Explain it to me. Why can’t we complete the trial? It’s unacceptable. This is exactly what we are struggling for. President Putin has said it. President Xi has said it. We could have already been at seven per cent growth (in GDP), but we are not,” Mr. Sharif said.

The remarks by the Pakistani officials suggest that both Pakistan and China are attempting to square circles.

Pakistan needs to be seen as cracking down on militancy while considering the domestic influence of ultra-conservative religious groups as well as seemingly misguided beliefs that support for anti-Indian militants serves its purpose.

For its part, China’s justification of its hardhanded crackdown in the north-western province of Xinjiang as a bid to counter jihadism and nationalism among, Uighurs, a Turkic people, is weakened by its reluctance to be equally firm in countering militants in Pakistan.

The problem for both countries is that 1 + 1 = 2, whichever way one looks at it.

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South Asia

How the US withdrawal from the Iran nuclear deal affects India

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Authors: Tridivesh Singh Maini & Sandeep Sachdeva*

While India was guarded in it’s response to the withdrawal of US from the Iran Nuclear Deal, it surely realizes the implications of the US withdrawal. Iran is India’s third largest source of crude oil (after Iraq and Saudi Arabia) . Between April 2017 and January 2018, New Delhi imported well over 18 million tonnes of crude oil.

New Delhi has also invested in the development of the Chabahar Port Project, which will provide India, access to Afghanistan and Central Asia. This project is extremely important for India, since it will help in bypassing Pakistan, which has continuously kept India out of the Afghanistan Pakistan Transit Trade Agreement (APTTA). During Indian Prime Minister, Narendra Modi’s Iran visit in May 2016, India had signed an agreement, committing 500 Million USD for the development of Chabahar. During Modi’s visit,  a trilateral transport and transit partnership was also signed between India, Afghanistan and Iran.

In February 2018, during Iranian President Rouhani’s visit  to India, a lease agreement was signed between India and Iran. The lease agreement gave operational control of Phase 1 of Chabahar Port (Shahid Beheshti port) to India. The Modi, Hassan Rouhani Joint statement mentioned the need for making Chabahar part of INSTC project and PM Modi further emphasised that “We will support the construction of the Chabahar-Zahedan rail link, so that Chabahar gateway’s potential could be fully utilised.”

Here it would be pertinent to point out, that to enhance connectivity with Afghanistan, India has also set up an India Afghan Air Corridor, two flights are currently operational; one connecting Mumbai with Kabul, and another which connects Delhi with Kabul.

Indian hopes

For the time being, New Delhi has rested its hopes on the fact, that European countries are trying to keep the deal intact, and US will also not impose sanctions on allies, including India, for engaging with Iran. Defence Secretary James Mattis in a Congressional hearing held by the Senate Armed Services Committee, had categorically stated,  that the US should be careful with regard to imposing sanctions against allies, under Countering America’s Adversaries Through Sanctions Act (CAATSA).

Mattis said, that allies like India should be provided a national security waiver, against imposition of sanctions for the purchase of S-400 air defence missile system from Russia.

A number of US Congressmen and Senators too have echoed Mattis’ views saying that India is valuable ally and should be exempted from sanctions

What India needs to be cautious about

While India does have time to react to the sanctions re-imposed, and the fact that European countries are keen to keep the deal alive are important. Recent statements by the US National Security Advisor, John Bolton saying that Europe will not be immune from sanctions, and would ultimately fall in line needs to be closely watched.

Said Bolton in an interview with ABC’sThis Week:“Europeans are going to face the effective US sanctions — already are, really — because much of what they would like to sell to Iran involves US technology, for which the licenses will not be available.”

Bolton also stated, that these countries will ultimately realise that it is in their interest to go along with the US.

Earlier US Ambassador to Germany, Richard Grenell advised Germany to re-consider business ties with Iran:‘German companies doing business in Iran should wind down operations immediately”.

New Delhi needs to strike a balancing act between Iran and US, but it also needs to have a clear plan of action to deal with US sanctions against Iran. In the past few years, India has successfully managed to balance relations between Iran and US, and Iran and Israel. Given the recent sanctions and the hawkish approach of the Trump Administration, it may be tough.

China factor

In the meanwhile, New Delhi would be well advised to follow closely China’s reaction to the withdrawal of US from JCPOA. Iranian foreign minister Mohammad Javad Zarif visited three important countries Russia, China and Europe to save the JCPOA. Chinese Foreign Minister Wang Yi said “it was hard-earned  deal, and China will take an objective, fair and responsible attitude, keep communication and cooperation with all parties concerned, and continue to work to maintain the deal”.

The China factor doesn’t end here for India. Off late, ties between India and China have witnessed an improvement, during PM Modi’s recent China visit, it was decided. that both countries will undertake a joint project in Afghanistan. In recent months, there seem to be some indicators of lowering of tensions between New Delhi and Islamabad as well.  Could, Beijing get New Delhi and Islamabad to discuss the issue of  transit trade to Afghanistan?  An opinion piece, ‘Pakistan’s military reaches out to India’, published in RUSI (Royal United Services Institute) discusses the willingness of Pakistan to discuss this issue, but India had turned down the offer in October 2017. Maybe New Delhi, could explore this option, and Beijing could support such an effort.

Conclusion

In conclusion, New Delhi will need to handle the current situation with great dexterity, while US is an important strategic partner, India has also got an opportunity to send an unequivocal message to Washington, that its own interests are paramount, and it will not blindly follow any one camp. In spite of all the challenges and upheavals likely to result from Trump’s decision, this also provides a golden opportunity for re-shaping the narrative within South Asia.

*Sandeep Sachdeva, Independent Foreign Policy Analyst

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