‘It takes three to five years to set up high-speed trains'

SNCF, the French Railway, is known for its expertise in running the Train à Grande Vitesse TGV (French for high-speed train).

SNCF has a 53 per cent market share in the European high-speed market, with TGVs running at a 300 km an hour (kmph) and even at 320 kmph on some parts of the network. From SNCF's annual revenue of €30.5 billion, about €7.2 billion accrues from the long-distance and high-speed trains division.

The Indian Railways has been studying various options to start high-speed train services. In this backdrop, Business Line caught up with Mr Christophe Chevet , Project Director (India), Major International Projects, SNCF. He was recently in India to share SNCF's experiences with Indian Railway officials.

Excerpts from the interaction:

How much time does it take for you to have a high-speed train up and running — from planning to operations?

It takes three to five years, depending on the length and specifications of the high-speed line.

It was 10 years when we started in 1970s. But the duration has come down with experience.

What is the cost per km of building a high-speed rail system?

For building tracks, the average cost is €15 million per km. But the cost varies depending upon the terrain. For mountainous regions, the cost could go up to €30 million per km.

For the rolling stock, a basic train set with eight-ten cars could cost €15 million. But the train sets with advanced features cost more, and a double-decker train set could cost up to €30 million.

What is the framework for high-speed operations?

The high-speed line (TGV) is operated by SNCF as a train operating company — it does not get any subsidy or grant for its high-speed train operations.

It pays track access charges to RFF, a State (Government) company which owns the network infrastructure. In fact, the track access charges are among the highest infrastructure usage charges on new high-speed lines in Europe.

About 30 per cent of operating expenses (for the high-speed line) are accounted for by track access charges.

How often are the track access charges revised?

The track access charges are revised every year.

How does SNCF manage the ticket pricing?

The ticket pricing varies. We undertake yield management based on demand.

The difference in ticket pricing levels during peak and lean periods, for the same stretch, could vary by over 50 per cent.

SNCF decided to have rail stations located close to airports… were you competing or complementing the airlines?

Air-rail connectivity has been a key point in the SNCF strategy.

For instance, two-thirds of the commuters at Raissy TGV station are air-rail passengers.

For a journey time of three to four hours, our services pose a fair competition to airlines.

For instance, in certain sections such as Paris-Marseilles, the TGV has about 70 per cent of the market share (compared to air travellers). But the TGV also complements some segments of air transport.

Many tourists fly down to an airport and take high-speed trains to connect the tourist destination — for instance, the trains could be used to reach ski resorts in the Alps.

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