New Delhi

Date 13.02.2017

PRESS BRIEF

Dedicated Freight Corridor Corporation of India Limited (DFCCIL)

Dedicated Freight Corridor Corporation of India (DFCCIL) is a Special Purpose Vehicle

set up under the administrative control of Ministry of Railways to undertake planning
& development, mobilization of financial resources and construction, maintenance
and operation of the Dedicated Freight Corridors. DFCCIL was incorporated in
October 2006 under Indian Companies Act 1956.

DFCCIL has been set up with 100% equity by Ministry of Railways and registered as a
company under the Companies Act 1956 on 30th October, 2006. The genesis of the
Dedicated Freight Corridor is due to saturation in rail transportation capacity of
Indian Railways on the Golden Quadrilateral. The Indian Railways' network linking the
four metropolitan cities of Delhi, Mumbai, Chennai and Howrah, along with its two
diagonals (Delhi-Chennai and Mumbai-Howrah) commonly known as the Golden
Quadrilateral, adding up to a total route length of 10,122 km, carries more than 58%
of its revenue earning freight traffic.

The Indian Railways is the lifeline of the nation. Growth in Indian Economy is leading
to surge in power demands requiring heavy coal movement, booming industrial
growth & infrastructure construction. Growing international trade along existing
Eastern and Western Routes has led to the demand for additional capacity for rail
freight transportation. In the first phase, the Government of India has approved
construction of two corridors-the Western DFC (1504 route km) and Eastern DFC
(1840 route km)- spanning a total length of about 3344 route km.

The Eastern Corridor, starting from Dankuni in West Bengal will pass through the
states of Jharkhand, Bihar, Uttar Pradesh and Haryana to terminate at Ludhiana in
Punjab. The Western Corridor connecting Dadri in Uttar Pradesh to Mumbai -
Jawaharlal Nehru Port (JNPT), will traverse through NCR and the states of Haryana,
Rajasthan, Gujarat and Maharashtra.

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 Vision

 To create a partnership with IR for retaining and expanding the market share
of rail through efficient and reliable service with customer focus.

Mission

 To build a corridor with appropriate technology that enables Indian Railways

to regain its market share of freight transport by creating additional capacity
and guaranteeing efficient, reliable, safe and cheaper options for mobility to
its customers.
 To support the Government's initiatives toward ecological sustainability by
encouraging users to adopt Railways as the most environment-friendly mode
for their transportation requirements.
 DFC shall perform similar functions in respect of future phases of the DFCs, if
any, including those connecting the other legs of the Golden Quadrilateral
and its diagonals.

Objective of DFC

 To create world-class rail infrastructure with advanced technology and

knowledge to carry higher throughput per train.
 To improve overall transport efficiency.
 To offer customer guaranteed, faster transit, energy efficient, environment-
friendly transport.
 To encourage total supply chain management.
 Reduce the unit cost of transport logistics.
 Increase Rail share in the freight market.

Mandate

 Task of planning, construction and maintenance of infrastructure of the

Dedicated Freight Corridors (DFC).
 Effective independence in decision-making and functions with a market focus
and business orientation.
 Status of Railway Administration under the Railways Act 1989, to discharge the
responsibility assigned to it under the concession agreement.
 Transfer of a minimum of 70% of freight traffic of Indian Railways to the
DFCCIL.
 Track Access Charges from Indian Railways and other authorized rail operators
in respect of construction and maintenance of the corridors.

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  DFCC will provide non-discriminatory access to freight trains belonging to
Indian Railways and other qualified operators.

Features of DFCC

DFC will provide Paradigm shift in freight operation with reduction in unit cost of
transportation due to :
 Less Operation and Maintenance Cost (O & M Cost)
 Lean organization with higher efficiency.
 Higher throughput per wagon and per train.
 Lower energy consumption.

Operating Features

 Train Headway - 10 minutes

 End of Train Telemetry System(EOTT) - Trains to run without Guard
 Station spacing of 40 Kms
 Maximum Permissible Speed 100 KMPH
 Provision for Time Tabled Schedule Trains.
 Facility for long-haul operation
 Double Stack Container Train operation on WDFC increase throughput upto
360 TEU per train

Advanced Technology & Innovation

 Unidirectional automatic signaling with 2 km inter-signal distance

 Stations with Electronic Inter-locking system with LED light Multi-aspect color
light signals
 Mobile Radio Train Communication System (GSM-R)
 2x25 KV, 50 Hz AT traction feeding system
 Usage of 60 kg curved thick web switches
 Ruling gradient in running track will be 1 into 200
 Distance between two TSS 60-80 km
 To run double stack containers on WDFC, the height of OHE is more than the
conventional height
 To enhance safety, TPWS (Train Protection and Warning System) will be
provided
 First time in India Mechanised laying of track by NTC has been adopted by
DFCCIL
 Use of Canted Turnouts

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 Corridors of Industrial Growth

(I) Multi Modal Logistic Hubs

The DFC network would attract setting up of Multimodal Logistics Parks along the
corridor to facilitate value addition including packaging, retailing, labeling, pelletizing,
transportation etc. The last mile connectivity in terms of door to door services will be
provided to the customers by 3PL service providers. Logistics Hubs will be developed
either by DFCCIL or in Joint Venture with suitable partner at different locations along
the corridor.

(II) Delhi-Mumbai Industrial Corridor (DMIC) & Amritsar-Kolkata

Industrial Corridor (AKIC)

Impact of DFCCIL is visible as a driver of Industrial Growth with planning and

development of DMIC & AKIC along the DFC. Industrial Corridors have been planned
using the backbone of the DFC. DMIC/ AKIC and DFCCIL are complementary to each
other while Industrial Corridor will get benefits from the World-Class Rail
Infrastructure of the DFC, the traffic originating from the Industrialized Corridor will
contribute significantly to traffic on the DFC.

Western DFC

 Western Corridor comprising of 1504 km of a double line track from Jawahar Lal
Nehru Port Trust to Dadri via Vadodara-Sanand-PalanpurPhulera-Rewari.
Alignment has been generally kept parallel to existing lines except provision of
detours and entirely on a new alignment from Rewari to Dadri and also from
Sanand to Vadodara.
 Western DFC will join Eastern Corridor at Dadri.
 The connectivity of WDFC with Indian Railways has been planned at Dadri,
Prithala, Rewari, Ateli, Phulera, Bangurgram, Marwar, Palanpur, Chadotar,
Mehsana, Sanand(N), Sanand(S), Makarpura, Udhna, Kharbao and JNPT.
 The Corridor will provide a boost to EXIM Trade. Traffic comprises of mainly EXIM
containers, between Jawahar Lal Nehru Port Trust and Mumbai port and port of
Pipavav, Mundra and Kandla and ICDs located in northern India. Besides this POL,
imported Fertilizers, imported coal, Food grains, Cement, Salt, and Iron & Steel
will have major contributions for traffic moving on the Corridor.
 Expected traffic over WDFC, year 2021-22: 152.24 (million tonnes).

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 Eastern DFC

 The Eastern Corridor with a route length of 1840 km and consisting of the
following distinct segments:
 An electrified single line segment of 389 km between Ludhiana and Khurja
 An electrified double line segment of 961 km between Khurja-Dadri-Mughalsari-
Sonenagar.
 An electrified double line segment of 549 km between Sonnagar to Dankuni.
 The junctions with Indian Railways on the Eastern Corridor have been planned at
Chawapail, Sirhind, Sambhu, Kalanaur, Pilkhani, Dadri(U), Khurja, Daudkhan,
Tundla, Bhaupur, Bhimsen, Kanpur, Karchchna, Ahraura Road, Mughalsarai,
Ganjkhwaja, Sonnagar, Gomoh, Andal(W), Andal, Andal(E) and Dankuni.
Temporary junctions are planned at Karwandiya, Sasaram and Durgawati. This
corridor will have 58 crossing stations.
 Traffic on EDFC comprises of coal for the power plants in the northern region of
India from Coalfields located in state of Bihar, Jharkhand and Bengal, finished
steel, food grains, cement, fertilizer, limestone from Rajasthan to steel plants in
the east and general goods.
 Expected traffic over EDFC, year 2021-22: 153.23 (million tonnes)

Carbon Footprints

DFC aims at to follow a low carbon path adopting various technological options
which can help DFC to operate in a more energy-efficient fashion. As per detailed
study on a Green House Gas (GHS) emission forecasting for a 30-year period
Cumulative GHG emissions over the 30-year period in the case of no-DFC scenario
would have been 582 million ton CO2 while in the DFC scenario it would be 124.5
million ton CO2. This demonstrates that in absence of DFC implementation
approximately 4.5 times more GHG would be emitted in 30-year period for freight
transportation envisaged on the Eastern and Western Corridor.

Funding Arrangement

 The total sanctioned cost of project is Rs. 81,459 crore (EDFC: Rs. 26,674 crore &
WDFC: Rs. 46,718 crore, land cost Rs. 8067 cr.)
 The entire cost of capital expenditure will be financed by the Ministry of Railways
through Debt and Equity. The Debt-Equity Ratio is 3:1. Debt will be financed
through loans from multilateral leading agencies.
 Loan for Western DFC has been arranged through Japan International
Cooperation Agency (JICA) which is providing debt of Rs. 38,722 crore.

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 Eastern DFC (Mughalsarai-Allahabad-Kanpur-Khurja-Dadri- & Khurja-Ludhiana) is
being funded by World Bank through loan of US$ 2.725 billion.
 Dankuni-Sonnagar section of Eastern DFC will be implemented through PPP.

Major Achievements of DFCCIL since Jan 2016

Award of Contracts

 100% award of contracts in Western DFC has been successfully achieved.

 Contracts worth Rs. 18,000 cr. were awarded during the year 2016, which is a
record of highest value of award of contracts in a single calendar year. Following
contracts were awarded since January 2016:

 Eastern DFC

 Dehri on Sone-Sonnagar Junction Civil work (16 km) worth Rs. 365 cr.

 EDFC-2, Electrical Contract, Package 204 worth Rs. 847 cr.

 EDFC-3, Civil Contract, Pkg 301 (Saharanpur-Ludhiana) worth Rs. 1769 cr.

 EDFC-3, Civil Contract, Pkg 302 (Khurja-Dadri) worth Rs. 511 cr.

 EDFC-2, Signal & Telecom Contract, Package 203 worth Rs. 471 cr.

 PMC for Pilkhani-Sahnewal section worth Rs. 68 cr.

 PMC for Khurja-Dadri section worth Rs. 35 cr.

 Western DFC

 Electrical Packages, EMP-16 (Makarpura-JNPT) worth Rs. 1213 cr.

 PMC Phase II worth Rs. 555 cr.

 CTP 3R Iqbalgarh-Vadodara worth Rs. 4744 cr.

 STP-17 (Makarpura-JNPT) worth Rs. 631 cr.

 Civil & Track Package, CTP-11 (JNPT-Vaitarna) worth Rs. 2949 cr.

 Integrated Civil, Electrical, S&T Pkg, CTP-14 (Rewari-Dadri) worth Rs. 3799 cr.

Finance

 Three fold increase in Capital Expenditure during the year 2015-16 in comparison
with 2014-15. Another 32% increase in Capital Expenditure projected in year
2016-17.

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 Capex worth Rs. 6638 cr. have been incurred up to December 2016 as compared
to Rs. 4998 in the corresponding period last year.

 Loan agreement of Rs. 103.664 Billion JPY for Western Corridor signed with JICA
on 31.03.2016.

 Loan agreement of US$ 650 million towards the third loan for the Eastern
Corridor signed with World Bank on 21.10.2016.

 Funding arrangements for both the corridors have been successfully completed.

Progress of Awarded Works

 Five-fold increase in pace of works in Khurja-Kanpur and Rewari-Palanpur

sections.

 First commercial goods train was successfully run on 56 km long New Durgauti-
Sasaram section of the Eastern DFC on 30th March 2016.

 Mechanized track laying with state-of- the-art NTC Machines have been
completed in 480 kms in both the corridors till December 2016 out of which,
more than 300 km tracks were laid during 2016.

 Drone and Geo Spatial based satellite technology was used for monitoring the
progress of New Durgauti-Sasaram section of Eastern DFC and Rewari-Iqbalgarh
section of Western DFC.

Unique features

 One of the most unique features of DFC is that the complete network is planned
to be free from all Level Crossing by constructing either Road Over Bridges (ROB)
or Road Under Bridges (RUB).

 A total of 1003 level crossings (689 RUBs and 314 ROBs) are planned to be
eliminated which will help in unhindered movement of both Rail and Road Traffic.

 Savings of Rs 3000 crore achieved by sharing of the cost with State Governments.

Land Acquisition

 The project is spread over a length of 3344 kms and is passing through 9 States,
more than 60 districts involving 11765 Hectare of land with more than 3 lakhs
Project Affected Persons (PAPs).

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 DFCC has taken adequate care in the resettlement & rehabilitation (R&R) of the
PAPs by providing them due compensation and R&R benefits and also providing
multi-skill training for facilitating in job opportunities.

 DFCC has been able to acquire 95.8% of the land (except PPP section of
Sonnagar-Dankuni) till December 2016 and are pursuing for acquisition of
balance land. Most of the environment clearances have been obtained.

 New Entitlement Matrix as per the Right to Fair Compensation and transparency
in land acquisition, Rehabilitation & Resettlement Act, 2013 has been
implemented w.e.f. 01.01.2015. All compensation and R&R after 01.01.2015 is
being paid as per the new Act.

 Compensation amounting to Rs. 10915 crs. (WDFC: 5157 cr., EDFC: 5758 cr.) paid
till December, 2016.

Awards & Acknowledgments

 DFCCIL has been awarded the prestigious ‘Golden Peacock Award for
Sustainability’ in transport sector for the year 2016.

 DFC also received MOU rating of ‘Outstanding’ for the year 2015-16 which has
been ‘Very Good’ in the last few years.

 CRISIL has reaffirmed the “CCR AAA (pronounced Corporate Credit Rating Triple
A) rating to DFCCIL

 ICRA, a unit of Moody's has also reaffirmed [ICRA]AAA (pronounced as ICRA

triple A) rating for DFCCIL for the current financial year.

 India Ratings & Research, A Fitch Group Company has affirmed Long term issuer
rating at IND AAA to DFCCIL.

CSR Activities: Project Saksham – A CSR initiative of DFCCIL

 ‘Project Saksham’ A CSR initiative of DFCCIL: 1039 PAPs/BPL persons at four CPM
units were imparted Skill Development Training at 13 Centers leading to their
employment/self-employment in association with Confederation of Indian
Industry (CII).

Other Achievements

 DFCCIL Corporate Office Building was awarded with 5***** (five star) rating by
BEE, Ministry of Power.

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 Private Freight Terminal Policy, Port Rail Terminal Connectivity Policy and Private
Siding Rail Connectivity Policy of DFCCIL have been finalized and approved by
BOD and are available on the website. www.dfccil.gov.in

Future Corridors

Railway Minister Honorable Sh. Suresh Prabhu, in his budget speech for the year
2016-17, proposed to take up three more DFCs:

 East-West Corridor (Kolkata-Mumbai) Approx 2327 Kms.

 North-South Corridor (Delhi-Chennai) Approx 2328 Kms.

 East Coast Corridor (Kharagpur-Vijaywada) Approx 1114 Kms.

(PETS study of these corridors have already been completed)

DFC- A Game Changer

Both Eastern & Western Dedicated Freight Corridors are capable of carrying of train
load of 13000 tonnes with average speed of 70-75 kmph as compared to the present
train load capacity of 5000 tons with average speeds of around 25 kmph. DFCCIL will
be a game changer in the freight transport logistics scenario in the country. The
pace of progress during the last two years has brought this challenging task closer to
reality.

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DFCCIL PRESS BRIEF 9 13.02.2017