Policy on private siding

POLICY ON PRIVATE SIDING:

1. Private Siding: Private siding refers to privately owned siding constructed/ laid out by a party at its own cost for railway freight services at the premises of plant or manufacturing unit or production unit or mines etc under a special agreement.

2. Eligibility and Applicability: Private siding is only for end user who owns a plant/manufacturing unit or production unit. End user also includes FCI, POL and Container.

3. Nodal agency: In order to provide a single window service to customers, nodal officer is nominated.

At RB level- ED/CE (G) will be the nodal officer during construction stage and Executive Director (Freight Marketing) would be the nodal officer both prior to construction and also after the siding is notified for commercial operation.

AT Zonal Railway level- Chief Traffic Planning Manager (CPTM) for all siding matters, CGE will be coordinating officer during planning and construction stage and As soon as the siding is notified for commissioning, CCM (FM) will take over as nodal officer.

4. Application Procedure and Time line:

i. Application shall be given to CTPM of concerning ZR along with non-refundable deposit of ₹.20,000/- along with the relevant details like name of the party, consultant’s name, brief description of the siding work, Location (station, division, railways) with 3 options, inward and outward traffic projections, related land details, , pre-feasibility report, Conceptual layout drawing, anticipated cost of the siding project.

ii. After examining the feasibility report and conceptual plan, COM will issue ‘In Principle Approval’ (IPA).

iii. After getting IPA party will submit detailed project report to the railways.

iv. CTPM will approve detail project report and detail estimate is communicated to the party and concerning officer.

 v. Decision on the mode of execution of work is taken. (by party or by railways). Party has to deposit codal charges and informed to sign the provisional integrated agreement.

vi. In a whole process of survey, approval of DPR, execution, final inspection etc railway shall observe a time line as under:-

a. For all the approval before the start of work=D+ 7 Months.

b. For commission of private sidings= D+ (12 months to 25 months)

c. D- Date of application.

vii. Commercial operation on the siding shall be permitted only after signing of ‘Private siding agreement’ and ‘Land lease agreements’ by the Sr.DCM and Sr.DEN on the division respectively.

5. Departmental charges:-

Departmental charges shall be payable by party. Departmental charges shall be levied to cover the cost of tools and plant and of establishment supervision w.r.t Survey, DPR approval, Plans and Estimates, Construction and final inspection and shall be utilized by the concerning departments. The charges leviable will be on the total cost of private siding project.

6. Capital Cost:

i. The siding owner shall bear the capital cost of the new siding from the take-off point at the serving station.

ii. The capital cost of all traffic facilities such as ‘Y’ connection, additional lines at the serving station, crossing stations, patch doubling of the section etc. shall be fully borne by the railways.

iii. The distance for charging of tariff, for each ’Y’ connection shall be increased by 5 (five) kilometer.

iv. The capital cost for augmenting the facilities, within the premises of siding owner shall be borne by the siding owner.

v. Licensing of land for providing connectivity to the private siding exclusively shall be done as per extant policy.

vi. Maintenance and operation of these assets at the stations including staff cost shall be the responsibility of railways.

vii. If it is not feasible to provide connectivity from existing serving station, the entire capital cost of the new block hut/ Block station and related items is borne by the party.

viii. The siding owner also plays a lump sum amount towards the maintenance and deployment of staff at new block hut/ Block station.

7. Cost of Gauge Conversion: The cost of Gauge Conversion should be shared with the party by the railways, provided the investment made by the Railways is financially viable with a minimum ROR at 14%. If it is not financially justified, the siding owners will bear the full cost or the siding will be closed.

8. Maintenance of Assets on New and Existing sidings:

a) Responsibilities of siding owner:

i. Siding owner shall have option to maintain the track etc, of his siding either himself or through the railways.

ii. Siding owner shall at all times maintain his siding properly so that train operations are not hindered.

iii. Siding owner shall be liable to pay damage cost if the rolling stock is derailed / damaged inside the siding due to the bad maintenance condition.

b) Electrification cost:

In new siding- by party and in existing siding by railways.

c) Cost of OHE:

OHE maintenance cost for existing as well as new sidings will be borne by the Railways. In case of theft of OHE in the siding owner premises, cost of restoration of that shall be borne by party.

d) C & W Examination:

In new siding: The capital cost of C & W on one time basis may be borne by the party. Running repairs and staff cost in all cases should, however, be borne by the Railway.

In existing siding: The capital expenditure on the construction of sick lines/ train examination lines and the cost of staff quarters shall be borne by the siding owner. While railway will bear the cost of tools and plants, consumable stores recoverable, P-way materials.

e) Maintenance cost (Civil Engg.);- At both new and existing sidings maintenance shall be got done by the party at his own cost. The railways would charge “Inspection Charges”..

9. Cost of Railway Staff: The party shall bear the cost of one commercial staff per shift; or as decided by the railway depending upon the work load. Party has to deposit cost of the post of commercial staff estimated for 10 years before the commercial functioning of sidings.

10. Permanent Way: Cost of P- Way material, all charges incurred in laying and fitting of P-Way material and all other equipment’s, which may be , freight at the public rates , material trains and handling charges shall entirely be borne by the party.

11. If railway wagon gets damaged din the siding due to the fault of siding owner, the cost of damage and deficiency shall be recovered from the party.

12. Maintenance of S & T Assets: Maintenance of S & T equipment’s, provided at the takeoff point of the siding and linked to the main line railway track shall be done by railways. Maintenance of S & T equipment’s inside the siding is done by party at its cost. Railway will charge the inspection and supervision charges to the siding owner.

13. Electronic IN- Motion Weighbridge: Siding owner shall be required to provide at its cost an EIMB at a private siding having outward traffic.

14. Terminal management terminal (TMS) of FOIS with access shall be install at the siding at party’s cost.

15. Siding owner shall provide all facilities for the provision of FOIS terminal in the siding for issuing of RR and taking delivery of the consignment.