BUSINESS

Rlys mull aluminium coaches to save fuel cost

By Bijith R in New Delhi
May 30, 2008 13:21 IST

An aluminium wagon costs about Rs 25 lakhs (Rs 2.5 million), while a steel wagon is available for around Rs 12  lakhs (Rs 1.2 million).

In order to increase its payload capacity and save fuel, the railways are considering a proposal to procure  aluminium wagons by 2012-13, when the dedicated freight corridor is scheduled to become operational. The final decision would be taken after a cost-benefit study, said senior railway ministry officials.

Aluminium wagons will be costlier than the steel and stainless steel wagons that are in use currently. Industry  experts say an aluminium wagon will cost about Rs 25 lakhs (Rs 2.5 million), more than double the price of a steel wagon. A stainless steel wagon costs Rs 18-20 lakhs (Rs 1.8 to Rs 2 million).

However, aluminium wagons are expected to carry 8-10 per cent more weight and help the railways earn more per wagon and make huge savings on fuel as they have  less weight.

"Aluminium wagons, considered light-weight, will help the railways save fuel and generate more revenue due to their  higher loading capacity. However, a study will have to be undertaken to find if additional revenue and fuel savings  can make up for the additional cost of buying aluminium wagons," said a senior ministry official.

However, the railways could use aluminium wagons to carry specific commodities like coal, which accounted for 42.4  per cent of the total freight loading of 794 million tonnes (mt) during 2007-08. The railways aim to carry 1,100 mt  freight traffic by the last year of the 11th Five-Year Plan, that is, 2012.

The railways have also decided to add one more wagon to every train to meet the demand, which is growing at 10 per  cent per annum.

Bijith R in New Delhi
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