Challenges and Opportunities in the Railway Subsector in Myanmar. Presented by Myanma Railways
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1 Challenges and Opportunities in the Railway Subsector in Myanmar Presented by Myanma Railways
2 1. Existing Infrastructure (a) Track Item Mile Length Km Remarks Single line Route Mile Rails Wt: Double line Route Mile Total Route Mile Rails 75 lb RBS Rails 60 lb RBS Rails 60 lb BS Total Track Mile Rails 50 lb ANSC
3 1.(b) Major Facilities & Equipment Description Number Stations (a) Block Stations (b) Wayside Stations Tunnels Bridges Buildings Plant & Machinery Wooden Sleeper P.C Sleeper Yangon Circular Line (Route Mile) (Route Kilometre) mile (47.52 km)
4 1.(c) Communication & Signalling system (i) HF/SSB Radio - 42 UHF Radio VHF Magneto Telephone Electronic Private Automatic Branch Exchange (EPABX) - 24 Fiber Optic Cable miles (ii) Yangon Circular line = Automatic Block System Other Lines = Paper line-clear ticket System
5 2. Motive Power & Rolling Stock (a) Locomotive Fleet Type Year Steam Locomotive Diesel Locomotive (a) Diesel Electric (b) Diesel Hydraulic Total: Grand Total:
6 2.(b) Number of passenger coaches Type Upper Class Ordinary Class Mail Vans Brake Vans Restaurants Departmental Others Total:
7 2.(c) Number of Freight Wagons Type Year Covered Wagon Open Wagon (Low Sided) Open Wagon (High Sided) Timber Wagon Tank Wagon Brake Van Others Total:
8 3. Railways Service Train Type Nos of Train per day Passenger Trains Express ( ) 44 Mail & Others 72 Mixed 66 Rail Bus Total Yangon Suburban Trains 200 Fr eight Trains Total Trains ( 0.1 million passengers traveled per day )
9 4. Performance (Traffic Volume) Passenger and Freight Traffic (Million) Classification Year No. of Passenger Main Suburban Total Passenger Mile Ton Carried Ton Mile
10 5. Financial Statement( Operating Ratio) (Kyats in million) REVENUE Classification Actual (Prov) - Passenger Goods Others Total Revenue EXPENSES - Operating expenses Interest Profit & Loss on foreign Exchange (8.85) (5.41) (25.22) Total Expenses Operating Ratio. (without interest) % % % % - Operating Ratio. (with interest) % % % % - Tax
11 Railway Connectivity of Myanmar with the GMS and Beyond Railway Lines of International Importance in Myanmar Existing lines Mandalay-Yangon = 617 km Mandalay-Lashio Mandalay-Kalay = 313 km = 539 km Bago-Thanbyuzayat = 270 km Missing lines Kalay-Tamu Lashio-Rueli = km** = km** Thanbyuzayat-Three Pagoda Pass = 110 km** ** The route lengths of missing lines are referred from feasibility reports
12 (a) Indian-Myanmar Rail link (Kalay-Tamu) * Comparison of transport between Yangon & New Delhi Without Project With Project Transit time 22 days 9 days per TEU cost 2000 USD 800 USD * Conducted by RITES Ltd * The scope of the study New rail link (i) Jiribam-Moreh (219 kms) India (ii) Tamu-Kalay (127.4 kms) Myanmar Rehabilitation of existing line Kalay-Mandalay (513 kms) Myanmar * The construction cost of the project # Tamu-Kalay mil USD. (new line) # Kalay-Mandalay 162 mil USD. (Rehabilitation) * Freight Demand Forecast 2.48 mil tons in * The Financial Analysis Jiribam-Moreh (-) 1.7% Tamu-Kalay (-) 1.2% Combined (-) 1.3% Under optimistic scenario, FIRR could improve to (-) 0.6%
13 (b) (i)china-myanmar Rail link (Lashio-Muse-Rueli) * Financial & Economic Evaluation # FIRR < 0 # Repayment period of investment > 25 yrs. (RMB 0.10/person-km, RMB 0.10/ton-km) * Conducted by 2 nd Railway Survey and Design Institute, * The scope of the study A metre-gauge railway line Lashio-Muse-Rueli ( km) (Change of Gauge) * Route Description km (60 major and medium bridge) 23% km (51 tunnels) 37% km Rolling 40% * The investment cost mil USD (RMB 3598 mil Yuan) * Demand Forecast in 2030 Total Trade Total Transport Volume Volume Myanmar-China 8.9 mil (USD) 10.3mil tons Myanmar-Southwest 5.2 mil (USD) 6.28mil tons China Sino-Myanmar Railway Freight Volume 4.5 mil tons If the calculation scope extends to Mandalay # FIRR = 0.57 % # Repayment period of investment = yrs. # EIRR = 10.87
14 (b). (ii)china-myanmar Rail link (Muse Lashio Kyaukpyu) Ruili/Muse - Kyaukpyu railway start from ruili east railway station, goes to Muse at the border, terminates at Kyaukpyu Port via. Lashio, Mandalay & Magway. The total length of the railway line is km. China Railway Engineering Corporation (CREC) submitted Feasibility Study Report on Myanma Railways had submitted that report to Ministry of Rail Transportation and at the same time, submitted to the government of Shan State, Mandalay Region, Magway Region and Rakhin State, where the Rail line will passes through so the they can review them and made comments regarding to compensations, relocation work, and all other that are involved with the local communities and the government concerned.
15 Main Technical Standards of China - Myanmar Rail link Item Railway Classification Class I Standard Track gauge (mm) 1435 Number of main line Single track Controlling gradient (% ) 12, pusher grade 24 Minimum radius of curve(m) 800 Design running speed of passenger train (km/h) 120; for some section, adaptability to 160 will be reserved for plane and profile Traction type Electricity (diesel asmakeshift ) Type of Locomotive Six axles electric locomotive (six-axle diesel locomotive for makeshift stage) Traction Tonnage(t) Preliminary stage 1800; near future 3000; far future 4000 Effect length of arriving and departure track (m) Type of blocking 650, with adaptability to 850(880 for dual locomotives) Semi-automatic block
16 (c). (i)thailand-myanmar Rail link (Thanbyuzayat-Three Pagoda Pass) * Conducted by KOICA * The scope of the study # Thanbyuzayat-Three Pagoda Pass (110 km) (Myanmar) # Three Pagoda Pass-NamTok ( 153 km) (Thailand) * The construction cost for Myanmar side mil USD. * Total Traffic Demand Forecast In the case of medium demand scenario; Freight ton 0.7 mil 3.1 mil 5.7 mil Passenger 0.06mil 0.2 mil 0.5 mil * Economic Evaluation In the case of the medium demand scenario B/C ratio = 0.74 EIRR= 8.1% < discount rate 12% The project is not viable economically. Financial Evaluation For the medium scenario, FIRR = 0.4%
17 (c) (ii)
18 At present there is an ongoing project for building a deep seaport and a special Economic Zone at Dawei (Myanmar). It is a BOT project with Italian Thai as developer. The project includes road link as well as a rail link from Kanchanaburi (Thailand) to Dawei deep seaport (Myanmar). Since Dawei is the end of the Southern corridor of GMS which passes Ho Chi Minh City, Phnom Penh and Bangkok. This railway line could be expected to play a much larger role in the regional transportation network.
19 ADB s Transport Sector Assessment Railway Subsector Constraints (i) (ii) (iii) The focus on constructing new lines having low economic value and revenue prospects, Insufficient investment in the core network, The lack of a modern commercially-oriented financial management system.
20 Technical & Operational obstacles (a) Compatibility with technical standards of TAR Comparison of clearance (Vehicle gauge & Structure gauge) Vehicle gauge Structure gauge MYANMAR Width Height 2,590 mm 3,429 mm 3,770 mm 3,770 mm TAR Width 2,820 mm 3,810 mm Height 3,950 mm 5,100 mm
21 (b) Axle load and other technical standard Target speed Radius of Curvature Maximum Gradients Track Structure Item TAR MR Freight 80 km/hr 48 km/hr Passenger 120 km/hr 68 km/hr Rolling Mountainous 800 m 150 m 200 m Rolling 1.00% 1.00% Mountainous 1.20%-1.25% 4.00% Rail section UIC kg/m Sleeper P.C P.C W.S Depth ballast 250 mm 120 mm Axle load 20 ton 12.5 ton
22 (c) Number of bridges along the railway lines of International Importance Section Number of bridges <30 m 30 m subtotal no. of bridges over headed truss girder Yangon-Mandalay Mandalay-Kalay Mandalay-Lashio Bago-Thanbyuzayat Total
23 Over-aged Rolling Stock (a) Life condition of Diesel Locomotive in ( ) 21% 28% 25% 14% 12% Under 10 years 11 years 20 years 21 years 30 years 31 years 40 years 41 years 50 years
24 (b) Life condition of Passenger Coaches in ( ) 31% 24% 20% 25% Under 10 years 11 years 20 years 21 years 30 years Over aged
25 (c) Life condition of Freight Wagons in ( ) 55% 9% 8% 14% 14% Under 10 years 11 years 20 years 21 years 30 years 31 years 40 years 41 years 50 years
26 Expansion of National Railways Network (1) Kyangin Pakkoku km (2) Katha-BaMaw km (3) Dawei-Myeik km (4) Moene-Kyaington km (5) Pyawbwe-Magwe km (6) Minbu-Sittway km (7) Pathein-Yangon km (8) Hinthada-Nyaungdon km (9) Naypyitaw-Pinlong km (10) Myitkyina-Namsan km (11) Monywa-Kalay km (12) Taungoo-Loikaw km (13) Pyay-Taungoo km Total km
27 Particular 1988/89 Expansion of MR National Network Up to end of September,2012 Route - km km Kyangin - Pakkoku km 2 Katha - Bamaw km 3 Dawei - Myeik km 4 Moene - Kyaingtong km Track - km km km Under Construction 5 Pyawbwe-Magwe km 6 Minbu - Sittway km 7 Pathein-Yangon km 8 Hinthada-Nyaungdon km 9 Naypyitaw-Pinlong km 10 Myitkyina-Namsan km 11 Monywa-Kalay km 12 Taungoo-Loikaw km 13 Pyay-Taungoo Sub-total km km Myanmar is now changing in political and economic situations very fast. Myanma Railways performs more economically in the organization s functions so we cease the project of new lines and under construction lines.
28 Opportunities elimination New Line Construction Projects postponing comprehensive survey and renovation of the project corporatization
29 Further Investment for the core network 1. National Railways Strategic plan. 2. Track Improvement Project for Yangon- Mandalay line Up Line and Down Linetotaling 1242 km. 3. Upgrading of Yangon Circular Line 95 miles. 4. Mandaly- Myitkyina track Upgrading Project 552km. 5. Bago- Dawei Track Upgrading Project 507 km. 6. Yangon- Pyi Track Upgrading Project 259 km. 7. Tamu-Kalay-Segyi-Monywa Mandalay Rail Line project.
30 8. Thanbyuzayat-Three Pagoda Pass Rail Line Project. 9. Upgrading of three Major Locomotives and Carriage Maintenance Workshop. 10. Purchasing of 300 Nos. new passenger coaches. 11. Purchasing of 20 Nos. new locomotives. 12. Repowering of 50 Nos. locomotives. 13. Monitoring Goods and Passengers transportation including Private Sector by IT System. 14. Monitoring Internal and External traffic condition by IT System.
31 INDICATIVE BASELINE INVESTMENT PROGRAM TO SUPPORT THE GMS STRATEGIC FRAME WORK ( ) For Ministry of Rail Transportation TRANSPORT Sr No. Project Title Indicative Timline Cost Estimate (US$ million) Remark RAIL 1 National Railways Strategic plan ADB Grant 2 Track Improvement Project for Yangon- Mandalay line Up Line and Down Line totaling 1242 km (a) Track Japan ODA Loan (b) Signalling Japan ODA Loan 3 Upgrading of Yangon Circualr Line 95 miles (a) Track Japan ODA Loan (b) Signalling Japan ODA Loan
32 Sr No. Project Title 4 Mandaly-Myitkyina track Upgrading Project 552 km. Indicative Timline Cost Estimate (US$ million) Remark (a) Track Japan ODA Loan (b) Signalling Japan ODA Loan 5 Bago-Dawei Track Upgrading Project Japan 507km ODA Loan 6 Yangon-Pyi Track Upgrading Project Japan 259 km. ODA Loan 7 Tamu-Kalay-Segyi-Monywa Mandalay By Indian Rail Line project Arrangeme 8 Thanbyuzayat-Three Pagoda Pass Rail Japan Line Project ODA Loan 9 Upgrading of three Major Locomotives Indian Loan and Carriage Maintenance Workshop 10 Purchasing of 300Nos.new passenger Korea coaches EDCF Loan 11 Purchasing of 20 Nos. new locomotives Indian Loan 12 Repowering of 50 Nos. locomotives Korea EDCF Loan
33 Sr No. IT SYSTEM Project Title Indicative Timline Cost Estimate (US$ million) Remark 13 Monitoring Goods and Passengers TBD transportation including Private Sector by IT 2014 System 14 Monitoring Internal and External traffic TBD condition by IT System
34 Lessons Learnt from the history Union of Burma Railways (UBR). Board Public Services Obligation (PSO) Burma Railway Corporation (BRC) - Commercialization (but not realized) - break-even position Myanma Railways (UBR). Board - 20 times of fuel cost - 10 times of salaries times of exchange rate ( No Vision No Mission No Strategic Plan )
35 Conclusion We, Myanma Railways shall actively coordinate and cooperate with ADB and development partners for the regional connectivity. We do believe that we can come back to the prosperous regional community by the technical and financial assistance of ADB.
36
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