Centre blinks on Telangana demand for coach unit

​New Delhi: Why is there a delay in establishing a coach manufacturing factory in Kazipet despite the repeated pleas of the Telangana Government? What is delaying the formation of a new Railway Zone in Andhra Pradesh carving Visakhapatnam out of the Eastern Railway?

These two questions are bugging the State governments of Telangana State and Andhra Pradesh since bifurcation as these were promises made during bifurcation of the erstwhile united Andhra Pradesh and incorporated in the AP Reorganisation Act, 2014.

• Centre tells Telangana government subtly that if the latter is insistent on the Kazipet coach factory, it may go through a private route
• The fate of the promise of creating a separate railway zone for Visakhapatnam is also sealed
• The "Executive Summary"of the report on Railways authored by Bibek Debroy, Member, NITI Aayog, indicates that there is no possibility of a separate zone

Union Minister for Railways, Suresh Prabhu, here on Saturday told the media that consultations were going on for creating a new railway zone in Andhra Pradesh and the process was not shunned.

However, top officials looking into the issue admitted on the condition of anonymity that "neither carving out a new zone for AP nor inclusion of Visakhapatnam division in the same is possible. As we have reiterated in the past it is a political decision and hence, only the Prime Minister Office has a right to comment on it. Those interested in realising it must work at political level".

Regarding Kazipet Coach Factory too, the officials clarify "there is no need for a new coach factory now. We have three coach factories and these are sufficient to meet needs. If the Telangana State government is so insistent, it could suggest a joint venture with 50:50 cost ratio and we may consider the same".

The consistent stand of the Railways, apart from its public posturing, is rooted in the recommendations of the Ministry's special report. The report titled "Executive Summary" explains in details the plans of the Ministry for the five years to come i.e., from 2014 to 2019.

The report that deals extensively with reforms suggesting restructuring, remodelling and recasting of Railway services "to make it financially viable and modern" has also made certain recommendations on the issues raised by the two Telugu States. Going by the recommendations in this regard, there is little possibility of the dream of the Telugus materialising.

The "Executive Summary" authored by Bibek Debroy, Member, NITI Aayog, who was the chairman of the "Committee for mobilisation of Resources for major Railway Projects and Restructuring of Railway Ministry and Railway Board" with seven other members, is categorical that "there are too many zone and divisions on Indian Railways and rationalisation of the same is required". This is point number 17 (or paragraph 17 of the Executive Summary).

It further states "it is the Committee's view that there must be decentralisation down to the level of Divisions and these must be treated as independent units".

While it talks about decentralisation, it is firm on empowerment of the Zonal level authorities to make the Zone autonomous. Para 19 of the Summary extensively deals with it to explain how and why the Zones be delinked from the authority of the Board.

The existing Zones "can become like corporate boards for the Indian Railways". For such a reorganisation to take place the time line fixed is two years only. So when the very meaning of the zone and division is about to be recast, where is the question of creation of a new Zone in the first place or restructure of the existing one? As for the divisions, "these must be treated as independent units".

So when even the Divisions are become independent in a Zone (in fact the report deals extensively with how financial empowerment could change the Divisions into independent units), where is the need for a zone to be created even if one suggests it on political exigencies.

Again coming to the Telangana government demand, the authorities make it clear that they had already explained to the government why a new coach factory was not viable in Telangana State.

In fact, the "Beyond 5 years" plan of the Executive Summary says "new production units expected are - forged wheels in Rae Bareli, MEMUs' (Mainline Electrical Multiple Units) in Bhilwara, Coaches in Sonepat (Haryana), Wheels in Chhapra, Axles in Jalpaiguri, MEMUs' in Kachrapara and Coaches in Kerala".

Does Kazipet figure any where ?
The Summary further goes to state that "wagons are already produced by the private sector. Coaches and Locomotives could follow."

What is the message ?
If you want to have a coach factory in Kazipet, go for it through a Private-route!

By:W CHANDRAKANTH