BHEL Tiruchi to tap various forms of transport to get around States' road restrictions

V. Sajeev Kumar Updated - March 08, 2011 at 09:52 PM.

Bharat Heavy Electricals Ltd's (BHEL) Tiruchi unit is now looking at multi-modal logistics in a big way by utilising the Karaikkal Port facility

Mr A.V. Krishnan, Executive Director, BHEL - Tiruchi

Bharat Heavy Electricals Ltd's (BHEL) Tiruchi unit is now looking at multi-modal logistics in a big way by utilising the Karaikkal Port facility in Tamil Nadu for moving its consignments within the country.

Multi-modal transport by using road, rail and water network was chosen on account of the road restrictions imposed by the State Governments in Andhra Pradesh, Tamil Nadu and Karnataka on the movement of hydraulic-axle trucks. These restrictions are delaying consignment deliveries of the company to various parts, Mr A.V. Krishnan, Executive Director, Tiruchi unit, said.

He told

Business Line that the company is now depending on Karaikkal Port for the movement of its consignments to the joint venture with Oil and Natural Gas Corporation and Tripura Power Corporation in Tripura. The consignments from Tiruchi complex are now going to Karaikkal port by road, and from there to Bangladesh by ship. They have been moved to Tripura from Bangladesh by road, a distance of 400 km. The cost will be 30-40 per cent higher for multi-modal transport, as the company has to pay port- and cargo-handling charges. The company is also examining different forms of transport for the projects of Indian Oil Corporation Ltd in Paradip and India Power Corporation Ltd in Haldia, he said.

The company, he said, is also looking at outsourcing the multi-modal transport job to reputed logistics firms on a trial basis in one or two projects, and later to expand it depending on the success of the venture.

According to Mr Krishnan, BHEL has taken up the matter of road restrictions imposed by States with the Surface Transport Ministry through the Ministry of Heavy Industries. The company has asked for amendments in the Motor Vehicles Act to allow hydraulic-axle trucks. He said the Ministry has formed a task force in this regard. The Ministry has also roped in Indian Institute of Technology, Chennai, to conduct a road survey and condition-monitoring to see whether these types of vehicles could be allowed on roads. The company is moving consignments through 73 transport companies within the country in various kinds of trucks.

Logistics has been playing a major role in the movement of consignments for BHEL as it is working on over 100 projects, which requires transport of at least 2,000-2,500 consignments for a single project, he added.

Published on March 8, 2011 16:18