Deteriorating SRT?

[Wisarut]

Fuel Hike Compellign More Passengers to be sardine canned on Isan Intercity trains
Manager daily, July 12, 2005

The Continuing Fuel Hike has compelled more people to ride the train...Thge 3rd ticket from Khon Kaen to BKK cost the Isan folks 137 Baht (about 13 RMs),100 Baht (10 RMs) cheaper than riding the intercity buses ...

Not surprising, All the existing the Isan trains are STUFFED and Sardine Canned .... nearly reach the level of BKK Commuter networks despite to the standing or sleeping inside hte toilets all the wayform Nong Khai to BKK (624 km) and Ubon to BKK (575 km). The Aircon 2nd Class Seats REQUIRES Reservation in advance since the aircon seats have been SOLD OUT Quickly.

SRT has responsed to the surging demands from Isan folks by adding the extra Diesel Railcar Intercity service by 4 trip a day with the 3rd class ticket of 157 Baht (15 RMs) and th aircon 2nd class of 309 Baht (30 RMs)

Note: This SHOULD compell SRT to invite FOreign ivnestors o set up the local Thai assembly for Aircon Rolling stocks/Aircon DMUs/EMUs so as to retire those Makkasan rolling stocks [some are
30-40 years old]... without the service interruption and keep those THN Diesel Railcars for BKK Commuter and Local Trains ONLY. :rolleyes: :cool: :p :) ;) :D

[Yappofloyd]

About a month ago when I was on holiday in HK I saw a story on BBC World news about new gas (CNG) powered locos in Peru. Couldn't find the story on the BBC website however the Railway Gazette International website (http://www.railgaz.co.uk/2005/057-nws7.asp) briefly mentions the Peru lgas powered oco in a story about testing alternative fuel sources for locos.

Perhaps SRT should be looking at similar initiatives particularly with the mooted plans to establish a local rolling stock assembly plant. Although most of the current testing around the world is obviously related to alternative fuel sources for locos surely there is some scope look at something which can complement/supplement for DMUs? At the very least SRT should look at converting some of their locos.

Remembering the ill fated longans swap (http://www.angkor.com/2bangkok/2bangkok/forum/showthread.php?t=655) for Chinese locos, and the depressed longan market, perhaps SRT should look at developing locos that can run on fermented longan juice! :D

[Wisarut]

Khun Yappofloyd,

I would prefer Biodiesel from either Palm oil whcih has been tried on
Rapid 175/176 Hat Yai - Sugei Kolok with very impresive result or the oil
from Purging Nut seeds as Indian Railway have tried ... with very good
results after some quality improvement.

Biodiesel is a preferred alternative since there is NO Need for
rejigging and retoolign the existing Diesel engines if they use Biodiesel.

[Wisarut]

The demand for Palm Oil for Biodiesel would be a great boon for Palm Oil Industry as well as the farmers in Chai Nart or so who plant the Purging Nut
to make biodiesel as you have already known.

Currently, the farmers have used the oil from Purging Nut seeds to fuel
their farmer machines ... but it wold take time to improver both quantity and quality to be qualified for PTT fuel stations. :D

[Yappofloyd]

Khun Yappofloyd,
Biodiesel is a preferred alternative since there is NO Need for
rejigging and retoolign the existing Diesel engines if they use Biodiesel.

Ok biodiesal seems to be the easiest option but perhaps for some of the sort haul goods SRT could look at gas powered locos if trials elsewhere go well. Is there sufficient supply of Palm oil in Thailand or the region to do the job if the quality was improved?

Of course SRT could just tap into all the current political 'hot air' that surrounds transport planning issues and use that to power quite a few locos.

[Wisarut]

Well, Now, SRT has convered 6 GEA Locos to use NGV fuel
for the container trip between LadKrabang ICD - Laem Chabang
... the money-maker short haul line ... 12 arrivals and 12 departures
as a daily basis.

If the project goes very well, SRT would consider converting
more SRT loco for short haul cargo trains or even commuter trains
to save fuel expense.

NGV Engines are NOT suitable long haul cargo trains anbd Intercity
since there are too few fuel stations avaialble for NGV Engines.

[Yappofloyd]

^ As usual the forum Transport Minister is ahead of the eng language press. Perhaps someone in SRT has been reading the forum? Maybe we will see an announcement soon about Purging Nuts being used with old pollies as a biodiesal mixture.... ?:D

Cargo trains running on gas (Bkk Post, 01/08/05)
AMORNRAT MAHITIROOK

The State Railway of Thailand has converted some of its locomotives to use natural gas instead of diesel. SRT governor Jitsanti Thanasophon said six locomotives have been converted to use NGV.Cargo trains with NGV-powered locomotives were operating on the Lat Krabang-Laem Chabang route.

He would have talks with PTT Plc, the state-owned oil and gas conglomerate, about reducing the price of NGV. If cost was reduced, more locomotives would be converted to use natural gas, the governor said. A test run found that an NGV-powered locomotive burned fuel four times faster that a train powered by diesel. The high burning rate of NGV was a barrier to converting more vehicles to shift to natural gas.

Meanwhile, the SRT has opened more routes to transport agricultural products in a bid to help farmers and factories cut transportation costs. It recently opened Khon Kaen-Laem Chabang port route to transport sugar from northeastern factories to the East. More services were planned.

[Wisarut]

Another word for Purging Nut is: Physic nut

Furthermore, SRT mechanics at Bangsueand Makasan havedecided to make the converted engined to consume both NGV and Diesel insteado just Diesel alone. The new trial would be started on August 8, 2005

[Yappofloyd]

With all the political hot air currently surrounding mass transit decisions perhaps there are more viable alternative fuel sources.....

Don't rush in to grow nut, farmers told PRASIT TANGPRASERT (BKK Post, 19/09/05)
Nakhon Ratchasima _ Farmers should not rush in to grow physic nuts, or saboo dam, a raw material for making biodiesel, Science and Technology Minister Pravich Rattanapien said. They should instead wait for a new and commercially viable strain of the plant. Mr Pravich said the Agriculture and Science and Technology ministries are jointly working on a new strain which would give a much higher yield of jatropha oil.

The strain of physic nut now available only yields 300-400kg per rai, which is not commercially viable in the oil industry. To be viable, the yield should be around 1,200kg per rai.The government would let farmers know when the new strain was ready. It would then urge private sector investment in establishing plants to extract and refine biodiesel from the nuts, he said.

Mr Pravich was speaking at a workshop on the ``Use of saboo dam oil technology for solving the energy crisis'' organised by the House committee on science and technology at Nakhon Ratchasima Vocational College. About 300 farmers attended. To further educate farmers on the potential of physic nut, the agriculture office of Chok Chai district has set up a demonstration plot at Ban Sao Dieo in tambon Tha Ang.

[Wisarut]

It is the vested interst to presure the farmers to grow more palm oil trees
.... which are so volatile in the market comapre to the physic nut :mad: :D

IU want to remidn you that the GOOD Quality palm oil DEPNDS UPON the weather and soil along with the irrigation .... Isan area (except the area logn the Mekhong and Chee-Mun river) is NOT a good place to grow Palm Oil trees ,... The aridarea is more suitable for Physic nut ....

Welll, I knbwo that there are fierceconflkicts of interst between policians form the Eastern Seaboard, Norhtenr Isan and Soutehrn Isan and EVEN the Southern Region on Palm Oil issue since the main palm oil refinery & mixture facility is in Eastern Seaboard ... so the owners of refinery & mixture facility
could set the palmopil price theyare goign buy at will ... at the expense of thsoe famers on otehr regions ....

[Khun004]

.
I took the subway to HuaHin yesterday.
No, I do not recommend it, although the food was decent enough.

What am I talking about?
Yesterday I took the DRC from Hualomphong (in Bangkok) to HuaHin: Train #43, departing 08:05
(DRC: Diesel Rail Car, a two-bogie train)

It's my third time on that train over the past two years.
But this time something was different:
The outside of the bogies were covered with the same sort of advertisement that covers the BTS skytrain.
It is an adhesive plastic, perforated with tiny holes to let light in the windows.
On the skytrain, that doesn't obstruct your vision much -- still a nice view while rolling along.
But the RR version seems quite different -- the holes are smaller or the pattern is different -- and the entire view thru the window is fuzzy.
The result is like looking at a frosted window for 3 hours.

Before boarding the train I didn't think about this at all.
From under the gloom of the station platform, it didn't occur to me, either.
But once underway, the interesting sights along the route were simply a blur.

Three seats at the front of the coach had clear windows.
All the rest of the rows were surrounded by the fuzzy blur.
Might as well be riding the subway underground.
Sure takes away from any appeal to riding train #43 to HuaHin.

I wonder if other trains in Thailand will be covering their windows.

http://www.railway.co.th/English/Car_APD.asp
.

[Wisarut]

Thsi Advwertising on passnegers carriagwes and DMUs has become a CONTROVERSY ... Many TRailfans are goign to Douse teh carraiges with Gasolene and set Fire on the carriages with advertrising as the portest sign ! :eek:

[qualtrough]

I agree that the ads on windows is one of the worst ideas I have ever heard of. For many if not most people being able to look out the window is one of the highlights of train travel, esp. on a long-distance train. Some time ago I took a train from Chiang Mai to Bangkok and was very disappointed to have the same experience. Beautiful mountain scenary seen through little pin-holes. I actually prefer third and second class non-air, nothing like an open window! I understand they need revenue, but things like this will kill the goose that laid the golden egg.

[GWR]

http://nationmultimedia.com/2006/07/15/national/national_30008781.php

More on the enigmatic 'Physic Nut', thanks to 'frontpage' and courtesy of 'The nation' yesterday: -

Oil of 'physic nut' can fight Aids, power machinery

Research into a plant commonly known as "physic nut" reveals that as well as powering heavy machinery, its oil can help inhibit HIV/Aids.

The Science and Technology Ministry hopes physic nut plantations can reduce the country's heavy dependence on imported oil.

The plant is locally known as "Sabu Dam". It produces oil that could become another alternative to diesel. Tests showed the refined oil helped fuel agricultural machines and power plants.

"If all communities grow 365 rai of the plant, we could cut diesel imports by Bt100 trillion a year," Science and Technology Minister Pravich Ratanapian said yesterday during a visit to Kasetsart University's Kamphaeng San Campus at Nakhon Pathom.

The campus is the first educational institute to promote the growing of Sabu Dam at the community level.

It, however, said the production of Sabu Dam oil would be economically viable only if communities could extract 200 litres of oil every day. That would require 800kg of Sabu Dam for which at least 365 rai of plantation would be needed.

Pravich said he would refer the research findings to the Agriculture and Interior Ministries.

In a related development, the Development of Thai Traditional and Alternative Medicine Department chief, Dr Wichai Chokewiwat, said Sabu Dam had many other benefits, including the inhibition of HIV.

But Wichai also warned that the public should be made aware that Sabu Dam contained the toxin curcin.

[von Hirschhorn]

If we do not come out purified in this nut case who shall?
It’s not as nutty as it sounds but living in a nuthouse we need a cracker to go on.
To put it in nutshell: yes, we really should think about other ideas to generate energy if we want on long term our cars keep running or better trains instead.
Saboo dam - black soap ?? - hopefully this event doesn't turned into one.

[Wisarut]

Well, Purging Nut is ACTUALLY working for small Diesel engines for farmers ... and this one can be grown ion the land unsuitable (too dry, too few rain & water) for Palm Oil plantation

The good place for grownign Palm oil for Biodiesel is

1) the Southern region
2) the Eastern region
3) the area alogn Mekhong river ....

Other than that are more suitable for purging nut :p :)

[von Hirschhorn]

Obviously trains are not running for the pleasure of fans only. Peeping through pin holes and see if you can discover and recognize were you are. It’s a mode of transport for most and yes in a submarine less to see. For me even ‘air’ is to much, not the temperature but the hermetic closed windows. The hours sitting at an open window, hot wind blowing fanatic in my face.
The sound from steal on steal, from station to station, day and even at night, wonderful!
After run the gauntlet the only danger is coming out grey, full of dust but washable, so no complains. This contrary to the almost stiffness you come out after a long ride in a practically sealed coach. Once sealed bearable for some rides, but double sealed is far to much!

[qualtrough]

I have been a fan of the Thai Railway System since first riding the rails 26 years ago. I am saddened to note that in some ways it seems to be going down hill rapidly. Almost all the trains I have been on recently have been late. On Sunday I took the Ordinary train that leaves Don Muang at 09:58 for Korat. I like that train as it is not too crowded and you cannot beat the price, something like 60 Baht. But the downside was that it was more than 2 hours late when I got off in Pak Chong.

On the return trip I paid almost 4 times as much for a second class seat on the Rapid train that was scheduled to arrive in Pak Chong at 14:00. This train arrived some 20 minutes late. Despite what I was told at the Don Muang booking office the train was not air-conditioned. My seat was broken and reclined into the lap of the passenger behind me so I could not sit back. I was traveling with my two small daughters so I abandoned the seat and crowded in with them. The bathrooms on both trains were out of water or just not working. I love the old coaches, I just wish the trains were better at keeping time.

Despite the deterioration in service I would recommend the morning ordinary out of BKK for Korat to anybody who likes trains. Usually not too crowded, and great food. Delicious roast chicken on a stick with sticky rice for 10 Baht, coconut ice cream at Ban Pachi station, and good scenery once you get into the hills. On the way back I advise getting a second class ticket because the trains coming into BKK from Korat are often standing room only in 3rd class.

[von Hirschhorn]

Yes, where the lack of interest is started or is it simply a lack of money, not enough funds to keep the equipment in a bright shape. In the latter - probably doom thinking – the far more stronger ‘automobile lobby’ (and this almost worldwide) who’s pushing the competitor to an edge of marginal existence. The train for the poor only, the poor too poor to buy a car anyway, so written of by the same lobby on forehand.
In the first: railwaymen always have been very proud to be a railwaymen and were dedicated to the most for the case.
No wonder, it’s always felt like being in a big family and thus you take care. Just as your kids wear worn-out trousers you’ll buy them a new one.
Obviously somewhere, somehow, the old system cracked and do people more and more take care only for themselves instead of care for the common. Let it run till it fall apart, is a very short-sighted economic view with devastated consequences.
Meanwhile we do continuing enjoying our rides – in filthy corrupted trains or not – and hope that someone discover some light in the tunnel. Invention of the wheel is something that repeats itself through the times.
Railway stock does not have to be brand new all the time, with the correct care and attitude you can keep the old in perfect shape. A lust for the eye, a joy to ride. ;)

[Wisarut]

Yeah Khun Bob ... It seems to me that we may have to opt for the second-handed Plestick engines from Turkey and second-handed DMUs from JRs ... to cope with shortages ... alogn with Bogies and wheel rings from Hungary and Romania .... :p

[von Hirschhorn]

... It seems to me that we may have to opt for second-hand DMU’s from Japan ...

We – sorry the SRT – already got stock like these from Japan and see how they end up after hardly been in service on Thai track… degraded till ordinary coaches and nothing to care for or maintain any longer except sweeping the floor after service
(if so…??) Well, for the buffs no problem, go to the yard and enjoy a multicoloured fleet.

[Wisarut]

Khun Boib,

Well, I mean another batch of Japanese DMUs ... after decomissioing the Kiha 58 in 2002 to make them Bogie Third Class ....

[von Hirschhorn]

I perfectly understand that you mean a new batch but before they arrive someone in the board must change some habits at the DMU workshop at Hua Lamphong and assure that they wont fall apart as quick as their predecessors did. A stock like a patchwork is nothing to shame for unless you let it roll unattended.:eek:

[Wisarut]

Even though Bangkok Depot is handling DMUs and Diesel Railcars, the ULTIMATE response for major repair of those DMU rolling stocks is always at Makkasan -> esp after Slamming with 10-wheel trucks, buses, or even buffaloes/elephants :eek:

For the case of Kiha 58, Many of Maintainance sfaffs at Bangkok Depot and Makkasan said the Diesel engines for that Kiha 58 are the good old Head-burning type which are giving lots of headache to the maintainance crews who has NO experience on handling such types of Diesel Engines ... :D

[qualtrough]

Further evidence, as if it was needed, which it really isn't. Bought a ticket for the 17:15 to Kaeng Khoi junction. Left Hualomphong 33 minutes late. To make things worse could not find a Post or Nation at the station, sold out, so nothing to read, aaargh.

[von Hirschhorn]

I did not said anything about running late I believe, maybe the most irritating thing. O.K. a filthy worn-out train is one thing and more or less appreciable if it runs at least on time. If not – and together with other disturbing substances – it really becomes a no-no.
Well, running on delay is nothing special for Thailand, here in Holland the complains are overwhelming in the media, to many trains do run out of the schedule and cause much friction amongst the travellers. Most delays are man caused. I am fear it is the same attitude that let the interior of the fleet neglected - lets hope the running parts of the stock still has the right attention at the shop in Makkasan.

[Wisarut]

Yeah, Those Maintianance Staffs at Makkasan as well as thsoe maintanace crews at Major Depot (BKk, Bangsue, Thonburi, Sila At, Nakhon Ratchasima, Thung SOng and Hat Yai) ALWAYS face the dilemma on the maintianace as daily basis ....

It would be a miracle to get all 6 Traction Motors working well, 5 workign TMs is the best they can do .... Worse still, the shortages servicable Locos and BCFs for lucrative Lad Krabang ICD - Laem Chabang route is every present dilemma ....

Now, We have used the second-handed Pleastick engines from Turkey ... for 42xx locos. However, the heavy use of this second handed engines has cause lots of CRACKS on the Turbo chargers (AKA Hoy [Nortilus] in Thai railway Jargon) ... Need a turbo charger replacement.

Now, Many old BCGs are being converted to BCFs as much as possible. ... Furthermore, good old Pennsilvania Type & Sumitomo Type of Bogie wheels have to be reused instead of being scrapped .... as the evidence from Thungsong depot has shown ... I got this info from those Railwaymen from Thugnsong ....

Even thogh SRT wish to get the KHM Bogies or better for passenger trains, they got Chinese-made Bogies whcih give a lot more bumpy ride due to poor shock absorbers in the bogies ...

[Wisarut]

Now, SRT has just agreed to purchased/make major repair 33 second-handed aircon passenger carriages from JR West at 114 million Baht to relieve the passenger carriage shortage.

After SRT Board has agreed to give SRT land to Ministry of Finance (Treasury Dept) as the way to write off 37 billion Baht debt, SRT has agreed to set up 3 subsidiaries

1) SRT Asset Managemnt Co.Ltd.
2) Eastern Logistic Co.Ltd. for Laem Chabang Port/Map Ta Put Route

3) SRT Electric Train Management Co.Ltd. for Red Line COmmuter Networks and Suvannabhum Airport Link

SRT Board hasd also foudn that SRT has to make investment of 283.527 billion Baht for sustainable rehabilitation and development .... to cut down the logistic cost


1. New lines with investment of 124.193 billion Baht such as

1.1 Denchai - Chiang Rai - Chiang Saen line for the North
(about 350 km, 250 km alone for Denchai - Chiang Rai)

1.2 Suratthani - Phang Nga - Tha Nun line for the South (about 160 km)

1.3 Bua Yai - Mukdaharn - Nakhon Phanom line for Northeast (about 300 km)

2. Invesment for better Services at 13.034 billion Baht

3. Red line commuter Networks with investment of
146.300 billion Baht

REF: Post Today - Decemeber 20, 2006

[pong]

it was detetriorating railway, like this:
sat 23/12, wanted to see that train+bus combo to Suvannapoom by myself.
Aimed to catch the 8.00 Kabinburi train. Arr. at HualamPong at 7.32 (2 bus, so you never know times), just too late for the special 7.30. Ticket 7 baht. Cars ready at platform. at 7.59 loco couipled on, then silence for national song. left at 8.20 (heard announcing that the 8.20 daytime sprinter to ChMai was rather late, in Thai+anglit), saw 2 crashed bluetrain coaches on the way out in full view, really reassuring. Made the normal speed, very brief station stops, but long wait for the single track section near NASA/RamKamHaeng. Arr at Hua Ta Khe at 9.20 (STA 8.46!). was warned by 2 worrying conductors just after HuaMak that ''next station'' was HTK: actually it was the 4th. Eager to use the promised (also here) 517 bus to airport; not a bus in sight (even though train other way had just passed at 9.14 or so), nor a sign, nor a common stop-shield. Was apparently the only 1 aiming to do so. some 10 mins later a red 549 bus came by, picked me up, came from Minburj garage and was still outofservice, not ticket sell (but I have amonthly anyway). Loopped all along ladKrabang rd in HuaTaKhe (which went much further as I've ever been, all along the 1013 white bus terminal), then set me down in the ''village, were some time later a 517 came for airport- by chance? by luck? arr as BUSterm. at 10.00. (which seems like 1 hr later as advertsied). even airDelaysia often beats that though.....

[von Hirschhorn]

Yes, that's the way dear Pong although do not trust the timetables.
I did it several times now and must admit I like it moreover hardly any tourist will take this string of transportation into town and you really are 'the Farang' on the Hua Takhe station. To complicated for them (tourists) on the one hand and so easy on the other unless you take your time.
At least it is the most adventure way. I have to be in Bangkok on another two occasions - three trips from and to Suvarnabhumi - For sure I go this way.

[Wisarut]

After the accident at Nong Kae, SRT has to stop the service of Yala Special Express 41/42 for a while ... WHen SP 41/42 service resume, SRT has to stop service of Day Surat Thani Special Express 43/44 until those Makkasan workers have finished major repairs of Daewoo DMUs which collide against GEK 4035.

This is clear sign that the Government must find the way to allocate loan for SRT to purchase new sets of Aircon DMUs and new locos for SRT... with condition attach to improve the loco driver health since many of them are now at their 50's ...

This would also require the REPEAL of cabinate resolution that ask all state enterprise to limit the number of new employee to 5% of retired officers whcih cause SERIOUS shortage of newer loco drivers.
SRT need 2400 competent or new loco drivers while the existign loco driver are now at 2000 ....
SRT need at least 100 newer and more powerful locos but got permikssion for 27 new loco ... worse is that 7 of 27 are Chiense loco which SRT workers never trust.

[Wisarut]

Npow, Another Headacheds for SRT is that Majority of Railway Officers and WOrkers are those with VOcational Certification (Equivalent of G-12) or Higher VOcational Certification (Equivalent of the 2-year college degree) .... or lower .... ONLY 3% of 35000 SRT Oficers have 4-Year college or higher who are able to play aroudn with computerized Locos.

Those with either VOcational Certification or Higher VOcational Certification have very NARROW viewpoints for Railway Reforms ... REFUSING to accept ANY reform that THREATEN their status quo :(

This problem also create the LIMBO situation during the election of SRT General Manager who is supposed to sign the document of Chachongsao - Sri Racha - Laem Chabang Double Track Project. Those who are accepted by Railway Workers are tarnished by Nasa Specidrom/Central Plaza/SRT Land Scandals. Those who come from outside are NOT accepted by SRT Workers :eek:

[Wisarut]

Now, Insiders told me that

1) SRT is planing to purchase 160 locos with axle load of 15 ton and engine of about 2500 - 3000 HP to cope with loco shortage and to refill the slot on those locos which are supposed to be on retirement

2) SRT is planing to purchase the other 40 locos with axle load of 20 ton and engine of 3000 HP Up for lucrative ICD Lad Krabang - Laem Chabang Port. This is due to the fact that the section from ICD to Laem Chabang carry about 4 Million Ton of Container Goods in the Year of 2004 - deserving powerful loco to haul heavy container trains.

3) 160 loco of 15 ton axle load and 40 locos of 20 ton axle load may NOT have computer system to cut down the maintainance cost .... However, the traction motor may be either familiar DC Motors or the new AC Motors .....

3) SRT is goign to keep 20 GEK and 45 ALSTHOM running, the rest will be cannibalized for spare parts.

[Wisarut]

Wait until the Bidding taking place in the Year 2010-2012 to see whcih one are going to be the winners for this massive order -> GE vs. SIEMENS v s. ALSTHOM

For the caseo of passenger cariages, it will be planned as follows:

1) the First Class Aircon Sleeper Carriages and Secon Class Aircon Sleeper carriages will be ordered from ROTEM since ROTEM has already merged all the rialway and rollign stock production in Korea into a single company

2) the third class carriage will be second - handed carriages from JR Groups .... This is due to the fact that the successful services and riding comfort of these carriages have compelled SRT to make such a choice.

3) More converting of Second Class Non Aircon Sleeper carriages into Second Class Aircon Sleeper carriages by local firms.

The local firm (Chor Thaweewatthana) has already converted 36-sleeper Second Class Non Aircon Sleeper carriages into Second Class Aircon Sleeper carriages and these convereted sleeper carriages have already been put into service on the following lines.

1) Chiang Mai Express 13/14
2) Yala Rapid 173/174
3) Sugei Golok Rapid 171/172

Sooner or later, the Non-aircon sleeper carriages will be as rare as rhino horns due to strong demands for Second Class Aircon sleeper carriages.

[Yappofloyd]

Getting back on track: Heavily indebted State Railway of Thailand could learn from Indian peer's success in maximising assets and efficiency - Wichit Chantanusornsiri reports from New Delhi, Bangkok Post 11/08/08

Any other company would surely be headed to the bankruptcy court by now, given five straight years of multi-billion-baht losses, machinery decades behind the times and a balance sheet awash in red ink. But this is the State Railway of Thailand, one of the country's oldest and proudest state enterprises and used by tens of thousands of people each day. Pradit Pataraprasit spread his hands. ''Actually, the bigger question is what kind of state railway do the people really want?''

The deputy finance minister, who oversees Thailand's State Enterprise Policy Office, is in India in search of a possible answer. Indian Railways, once on the verge of bankruptcy itself, has transformed itself into one of the largest rail network operators and biggest commercial employers in the world. A staggering 6.24 billion passengers travel Indian Railways each year, mostly on time and on profit.

Kalyan C. Jena, the chairman of Indian Railways, said efficiency gains, not economic growth, were what helped the state monopoly turn around its finances and services. ''The key to our success was in maximising the utilisation of our assets,'' he said. Cargo operations account for around 63% of revenues for Indian Railways (IR), allowing the organisation to maintain low prices for third-class services used by the country's poor travellers.

IR's success in building up its cargo services stems in part from sharp increase in demand for commercial transport as India's economy has grown at a breakneck pace. Joint ventures and investments with private logistics operators has helped support construction of cargo depots and warehouses necessary for ''door-to-door'' services.

The railway's wide track, at 1.676 metres, also supports heavy transport of cargo, allowing unit transport costs to be kept relatively low and competitive compared with road or air transport. On the passenger side, Mr Jena credits the organisation's shift to a market-oriented and customer-oriented focus as the backbone of its success.
http://i37.tinypic.com/imnn88.jpg

IR modernised its ticketing systems to offer multiple channels, including ATMs and the internet. Tracking systems allow monitoring of each train's position on a real-time basis. Marketing and service strategies were also tailored for each particular market segment, from third-class commuters to commercial clients to tourists. Mr Jena said that over the past two decades, IR had actually reduced its headcount, from 1.65 million in 1991 to 1.4 million today. The staff reductions came primarily through a no-replacement policy for retirees and resignations, leading to reduced operating expenses and greater staff efficiency.

IR now stands as a highly profitable organisation, with annual revenues of $17 billion and a cash surplus of $6 billion. The profits in turn give the rail operator the resources to finance new investment in rolling stock, IT and services _ under its current strategic plan, an additional $80 billion in investments are planned through 2015. Mr Pradit said investment was one of the clear differences between IR and its much smaller Thai counterpart. ''The SRT stopped new investment long ago. But hopefully, we can learn from IR's example, particularly in how to increase our use of rail for cargo transport,'' he said.

The SRT's own budget calls for annual rail investment of two billion baht. But actual spending is far less, at only 30% per year. But the oil crisis has led policymakers to put new importance on logistics and Thailand's aging railways, with plans under development to eventually upgrade the country's rail network to a double-track system to facilitate heavier loads and faster travel.

The Finance Ministry's own restructuring plan for the SRT calls for the creation of three new SRT-owned subsidiaries: one to manage rail operations, another to oversee the rail network and a third for asset management. Mr Pradit said he has asked the SRT to complete an action plan by the end of the month for cabinet approval. Areepong Bhoocha-oom, director-general of the State Enterprise Policy Office, said SRT studies estimate total costs for double-track upgrades at 100 billion baht over the next 10 years.

Thailand's antiquated rail system covers 4,129 kilometres nationwide, 94% of which is single-track. Train carriages and engine cars are woefully out of date, with only 64% in actual operation at any time and all more than two decades old. As a result, the SRT meets just 4% of the country's passenger transport needs and 3% of the country's cargo needs. Youdtana Tupcharoen, the SRT governor, agreed that more efficient asset management was central to increasing revenues and profits.

The SRT controls 195,000 rai of land, but only 38,600 rai are considered suitable for commercial development. SRT property includes some of the most valuable land in Bangkok, with large plots in the Makkasan, Phahon Yothin and Chong Nonsi areas. The land used by the popular Central Lat Phrao shopping mall is entirely owned by the SRT. Mr Youdtana said that splitting up some of the land into 10 projects of 50 rai each and leasing each plot out for 30-year leases to the private sector would generate sufficient income to completely clear the SRT's accumulated losses of more than 40 billion baht.
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