The Hindu Business Line : Rlys plans to revive `assisted siding' concept

THE Railways has decided to revive the concept of assisted siding, which was earlier in force but not any more. The revival move is in pursuant to the Railway Minister's announcement on liberalisation of the siding rules in the Rail Budget for 2005-06.

Under the assisted siding concept, the Railways will share the cost of a new railway siding with the customer concerned only if the customer comes up with long-term traffic commitment commensurate with the investments. What the Railways wants the under long-term commitment is assured traffic support for at least 10 years, if not more.

While the details are being worked out, inquiries with the Railways reveal that under assisted siding arrangement, the siding owner will be required to bear the cost of the land, earthwork, sub-structure of the track, ballast within the siding and of buildings outside the siding. The cost of removal of super structure including track, sleepers, fastening girders of bridges, points and crossings, fencing and signalling, interlocking appliances, machinery of any kind and overhead electric equipment shall be borne by the Railways outside the premises of the siding owner.

The cost everything within the siding owners' premises has to be borne by the owner.

In all other cases, i.e, where the commitment of traffic for 10 years or more will not be available, the siding owner will also bear the capital cost of the siding.

The integrated steel plants are not convinced that the concept of assisted sidings will be extended to them also. Despite adequate traffic inducement, the Railways, it is felt, might prefer to stick to the private siding concept (where the siding owners is required to bear the cost of virtually everything) when it comes to integrated steel plants in view of the huge amount to be involved in cost sharing.

The integrated steel plants on their part sincerely feel that the Railways will, henceforth, stop billing them for the cost of posting commercial as well as carriage and wagon personnel at their sidings. This follows the decision of the Railways that the salary and wages and other allowances of the Railway staff posted at various steel plant sidings, other than the engine on load, will be borne by the Railways. So far the steel plants reimbursed the cost of these personnel to the Railways.

Meanwhile, the Railway Board, in its bid to provide single-window service to customers, has decided to nominate the chief traffic planning manger at the zonal level as nodal officer for all siding matters throughout the construction stage till the signing of the agreement. As soon as the siding is notified for commissioning, the Chief Commercial Manager (Freight Marketing) will take over as the nodal officer.

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