Impact Of India’s Ambitious Mumbai-Ahmedabad Bullet Train Project – A Study
July 18, 2021
The Indian Railways have always been an integral component in the Indian economy’s development long before the First World War. Currently, with its estimated population of approximately 1.38 billion people, the momentum for mobility has been rapidly increasing to make India’s transportation sector a critical enabler of development and progress. India boasts the third-largest railway network globally and is one of the world’s largest employers. It also boasts a legacy of producing indigenized railway technology.
Despite such massive accomplishments, India, unfortunately, didn’t possess a single high-speed corridor for a long while. However, the upcoming prestigious ‘Mumbai-Ahmedabad Bullet Train Project’ promises to change that and uplift India’s progress in technology, social lifestyle, and economy. India’s bullet train project comes with many expectations and grandeur for its objective to improve railway technology in India, provide employment, and also for adhering to be an eco-friendly mode of transportation. This study carried out for the Center for National Policy Research, India’s first participatory think tank looks into the stormy bullet train journey to date.
The project was conceptualised in 2013, forming a collaboration between India and Japan. 12 stations were proposed, where 8 of them will be stationed in Gujarat. The project would follow Shikanshen technology by Japan, followed by Indian manufacturing. India’s bullet train project is estimated to be 15 billion USD, where Japan will be funding 81% of the project. The debenture will proceed through a 50-year loan with an interest rate of 0.1% with a moratorium period of 15 years.
Currently, the project is undergoing land acquisition, where 64% of the land is acquired. It won’t be meeting its original year of completion, i.e., 2023. It is likely to be completed by 2027. Maharashtra has acquired 101.4 hectares out of 432 hectares, and no land has been received in the Mumbai suburb. In Gujarat, maximum land has been obtained, i.e., 918.6 out of 956.15 hectares has been acquired.
Fig.1 Notable Highlights of the Mumbai-Ahmedabad Bullet Train Project
High-Speed Rails run on electric power, so this may lead to reducing India’s dependence on crude oil import. Based on a study by the International Union of Railways, railways produce only 8.1 kgs of carbon emissions while cars and airplanes produce 67.4 kgs and 93 kgs respectively for a distance of 600km per person. It also means that the project will be an environmentally friendly one, when compared to travel by plane or car. The project comes with eco-friendly corridor stations, with features such as rainwater harvesting mechanisms, natural light provisions, wastewater treatment plans and solar panels. This eco-friendly initiative was much appreciated by the public.
| Mode of Transport | Hours to Travel | Expense (Diesel/Fare) | People Capacity |
|---|---|---|---|
| Car | 10 | Rs. 5000 – Rs. 7000 | 4 - 6 |
| Flight | 1.15 | Rs. 2,500 | 180 – 200 |
| Train | 7 | Rs. 665 | 1600 |
| Bus | 9 | Rs. 200 – Rs. 500 | 40 – 60 |
| Bullet Train | 2.5 | Rs. 3000 – Rs. 5000 | 1300 – 1600 |
Table.1 Comparison of different modes of transportation from Mumbai to Ahmedabad.
While the government likes to think that this project may bridge connectivity to most minor developed areas, develop infrastructure and reduce greenhouse gas emissions, some experts believe that this increase of urbanization may lead to social conflicts and struggle for resources. The project promises to improve the economy by 2.7% and lead to a rise in employment opportunities. The project also reduces the travel time from 8 hours to just 2.
Despite the hype and expectations, the project was criticized for not being as economically viable as expected. The enormous costs involved in constructing the project made it seem like it was vainglorious for most of the population living around the Mumbai-Ahmedabad belt. Due to Indian Rupee’s depreciation against the Japanese Yen’s increase, the project’s loan expense has increased to 6160 Crore Rupees. When the loan agreement was signed between India and Japan, 1 Japanese yen was equal to 57 paise. The yen now is equivalent to 67 paise. The purchasing power of the rupee is at the risk of getting extinguished, meaning that India’s repayment of the project’s loan can have disturbing consequences.
The project has faced protests from farmers and tribals regarding land acquisition and environmental factors. People say it affects the land quality and their primary income source, i.e., farming leading to their main fear of losing their lands and become homeless and unable to earn. It has also been informed that this project has a higher risk of destroying the ecosystem, including 11 mangrove species, and about 177 species of animals and migratory birds will directly be affected, according to MoEFCC. This may also lead to an increase in the risk of flooding, erosion of the coastline, and an increase in the saline intrusion. Even if the necessary compensations were to be done, noise pollution from the sound of bullet trains, changes in drainage and water quality would continue to threaten the habitats around the region.
This dream project of our Prime Minister Shri Narendra Modi has been given a ‘Red’ signal by the Maharashtra State Government, especially by Maharashtra CM Uddhav Thackeray. It has been called ‘white elephant’. India’s bullet train project faces significant problems on the Maharashtra belt though covering only a certain distance of the route, and reports say the Gujrat land acquisition is made 90%. Still, the Maharashtra land acquisition is made 22% only. Rumour is that the Maharashtra State Government is eyeing it as a personal reason for their rivalry with the BJP government. However, it’s still not eminent who is being a barrier towards the development of India. In addition to this, the project may face tough competition from low-cost carriers, given its competing with low-cost airlines flying from Mumbai to Ahmedabad.
Based on all these negative allegations on the project, one may wonder whether India really needs a high-speed railway corridor now, when the existing infrastructure of railways needs proper maintenance, safety measures, and up-gradation. Let us understand that HSR works much differently when compared to other conventional railway transportation such as the metro. It is guaranteed to provide a new dimension to Indian Transportation System.
India’s vision for bullet train projects is broad, futuristic, and heightens the possibility of expanding high-speed railway corridors across India, but will carry a heavy financial burden along with it. However, it is also about time India strongly displays its technological prowess in the transportation industry.
