2. Malabe
Talahena
Robert
Gunawardana
Mawatha
National Hospital
Union Place
World Trade Centre
Colombo Fort
3. Existing problem
Heavy traffic congestions in Malabe corridor
• highest number of vehicles entering the city per day (60 000)
• second highest number of persons entering the city (150,000)
• no rail based public transport system
• lack of space for further widening of the road network
Change we wish to achieve
• Reduce traffic congestion
• Encourage the usage of public transport
services
4. Stakeholders Reasons
Ministry of Transport
Have embarked the project under the Urban Transport
Development Project for Colombo Metropolitan Region
Urban Development
Authority
Road Development
Authority
Japanese International
Cooperation Agency
(JICA)
Assistance
Fund the first phase
NTC Providing relevant policies, regulations and plans
Korean investors furnishing an economic study and EIA on the route and more
details on the type of technology that will be provided
Government Providing necessary acts and approve them at the parliament
Capital cost of building the line
General Public Users
5. Existing overall socio-economic policy decisions
affecting this project
• regulating the public transport fares at low levels (inclusivity)
• inability to provide more equitable opportunities for all income groups such as
different classes of service (equity)
• financing a government subsidy through other tax sources including foods
consumed by people in rural regions who do not travel on the monorail due to
its high operating and maintenance cost (cost)
• socio policies regarding the democracy of the Members of Parliament and
VVIPs as a monorail over the road on concrete poles in the middle of the road
leading to Sri Jayawardhanapura can disturb VIP movements
6. Desired outcomes expected from the project
1. Enhance Mobility for daily commuters in Colombo metropolitan area and
its suburbs
2. Enhance Accessibility for people
3. Support economic vitality of the metropolitan area through enabling
productivity and efficiency
4. Protect and enhance environmental quality
5. Ensure coordination among the planning and development activities of the
county
7. Objectives to achieve the above set of goals
Goal 1 - Enhance Mobility for daily commuters in Colombo metropolitan area and its suburbs
• Minimize the vehicular traffic flow on the city
• Improve safety on the road network
• Provide affordable, high quality, comfortable public transport service
Goal 2 - Enhance Accessibility for people
• Enhance the connectivity of key County activity centers, employment centers and public services
• Enhance access to land uses
• Better manage connectivity trough multimodal terminals and the Colombo Transport Hub in Pettah
• Ensure all citizens including differently abled and persons who lack access to automobiles are
provided with adequate levels of access to the services
Goal 3 – Support economic vitality of the metropolitan area through enabling productivity and
efficiency
• Maximize investment in transportation system from private sector
• Relieve congestion and transport costs
• Provide inclusive and equitable development through equal distribution of benefits to the country
8. Goal 4 - Protect and Enhance Environmental Quality
• Minimize air quality impacts of transportation investment
• Encourage measures to reduce fossil fuel consumption
• Preserve the natural and environmentally sensitive areas
• Preserve and enhance the character of the historic and existing communities
Goal 5 - Ensure Coordination among the Planning and Development Activities of the
County
• Incorporate new technologies to enhance capacity and extend the useful life of facilities
• Eliminate conflicts between transport modes
• Encourage the use of Intelligent Transportation Systems
9. Implementation of the project
Top- down approach
• The decision to implement this project will be decided on the basis of availability of
funding sources
• The Government will take the final decision to implement whatever the possible
measures to streamline the traffic along the city streets and to develop a new
transport mode such as monorail system to make the public transport system more
efficient on a short term, medium term and long term basis
Bottom- up approach
• The study was started in May 2012 after JICA gave a grant for a comprehensive
study to reduce the traffic congestion in the Colombo Metropolitan area and suburbs
• Feasibility studies are being carried out to recognize the passenger demand and the
affordability for the public to use this transport system to the masses
10. Existing transport policy conditions
*State Railway Operations
|linkage between rail and road
| participation of the private sector
*Environmental Principles
|concerns air , noise, flora and fauna
|transport technologies with less polluting
*Energy
|promoting public transport
|improved vehicle technology
*Modernization of Technology & Research
|encourages innovation ,modernization of transport sector
|supports the research, development
*Safety
11. *Fares
* Provision of a Choice on Modes of transport
|BRT, LRT, MRT systems
|monorail
* Improved Sustainability
Transport policy reform required
•Participation of the private sector
•Optimum composition of public sector and private sector entities
•New card system for travelling fare
•New price classes for passengers
12. Cost involved the investment
1. Construction cost
• Cost varies with several factors like “total length of the system,
topography(terrain) ,speed, land acquisition and numbers of station needed.
• Most of the construction materials needed are made with pre casted
concrete.
• Minimum land acquisition is needed. Only at stations
2. Operation and Maintenance Cost
• O & M cost is only for the rolling stock and stations.
• In rolling stocks maintenance is needed only for motors and tires
• Electricity is the main operating cost driver.
3. Life Cycle Cost
• Cost of rolling stock
Cost Per km cost Total cost
Construction cost $ 42 Mn $ 1.3 Bn
O & M cost $ 2.5 per car km $ 58 per trip
Recourses : Urban development plan. (ComTrans),
http://www.lankabusinessonline.com/news/sri-lanka-to-build-us$1.3bn-monorail-with-japan-finance/
1056043503 , http://www.monorails.org/
13. Equity impacts
•This project needs immense investment, and the source is taxes and loans. But
the whole country has to repay regardless whether they use it or not.
•Would have to charge higher fares due to the high investment and O & M,
high quality service provided. Thus making it unaffordable for poor people.
Investment
Option 1 Option 2 Option 3
Investment for both
rolling stock and
infrastructures are borne
by the government. Total
operation is under the
government control (SLR)
Government invest for
the infrastructure is borne
by the government.
Operation and investment
of rolling stocks are borne
by both public and private
sector(PPP).
A BOT system where an
investor is invited to make
investment, operate and
then transfer it.
14. Sustainability
• Financial stability will be mainly achieved through the revenue generated from the
money coming from the monorail passengers.
• Social sustainability will be achieved through creating new opportunities for
business environment, Reduction in road accidents, Increased land values, Job
opportunities through the new project, Urban development, Increase education and
employment access.
• Reducing congestion cost, crashes, energy imports and pollution costs will ensure
environmental sustainability.
• Economic sustainability can be achieved by;
• Improving access to key County activity centers, employment centers and
public services
• Improving the accessibility and the mobility of the factors of production.
Economic
Sustainability
Social Environment
15. Risks and Disadvantages of a Mono-Rail
System
High Initial Cost
This is because the system requires the elevated track and supports, which
are more costly than a basic railroad.
Might have to charge a higher price initially which will distract private
vehicle users.
Such a condition will jeopardize the expected outcomes of the project.
In case of an emergency ?
The greatest drawback for monorails is what happens when something
does go wrong, either with the track or train. On a standard railway there
are many lines a train can travel on; on a monorail it is limited to one. If a
section of track needs to be replaced, the entire system needs to be shut
down resulting in no service rather than reduced service.
16. • Compatibility among different versions;
• Another disadvantage of monorails is their incompatibility with other rail
systems, and often between monorails systems by differing manufacturers.
Monorail infrastructure and vehicles are often made by separate manufacturers,
with different manufacturers using incompatible designs.
• Turnouts;
• Especially at high speeds, may be marginally more difficult compared to
conventional railway points, although certainly not impossible.
17. External costs of the project
Monorails harm the aesthetics of the environment
The land and property values will decrease in the areas in between
stations
Equity issues
• Solutions
Building the station architecture designed to match the surrounding
environment.
The equity issue is minimized by providing several classes of
compartments.
18. Consumer surpluses and the producer surpluses
Consumer surplus
• Time saving
• consumer convenience
• reduction of private vehicles
Less environmental pollution
Fuel saving
Producer surplus
•Healthy profits
•less wastage
•customer satisfaction
•Less damage to environment
19. Regulations For The Project
• The government will have the authority to handle the whole mono rail
system.
• Sri Lanka railway department will have the power to decide rates and
adjust the rates of mono rail system.
• The ministry of transport Sri Lanka will assist the policy and planning
of the project.
20. Alternative A: Introduce a Bus Rapid Transit(BRT) system from Malambe to Pettah.
Alternative B: Construct a new railway line from Pettah to Malabe and implement a new
train service from Malabe to Pettah.
1 2 3
21. Revenue calculation
Origin Passenger demand Distance Ticket price Revenue (Rs)
Per day
Malabe =150,000*.35*.12
=6300
8km =9*10
=90
=6300*80*2
=1008000
Battaramulla =150,000*.35*.09
=4725
13km =16*10
=160
=4725*130*2
=1228500
Colombo =150,000*.35*.79
=41,475
21km =21*10
=210
=41,475*210*2
=17419500
Revenue per year = Rs. 6149.5 million
22. NPV calculation
Y-0 Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10
INVESTMENT
(Rs m)
(13160
0)
REVENUE
(Rs m)
6149.5*
1.1
6149.5*
1.12
6149.5*
1.13
6149.5*
1.14
6149.5*
1.15
6149.5*1
.16
6149.5*
1.17
6149.5*
1.18
6149.5*1
.19
6277.6
*1.110
OPERATING
COST
(Rs m)
8.67*1.1 8.67*
1.12
8.67*
1.13
8.67
*1.14
8.67*
1.15
8.67*
1.16
8.67*
1.17
8.67*
1.18
8.67*
1.19
8.67*
1.110
Scrap value after 20 years 12110
NET CASH
INFLOW
(Rs m)
6755 7430.5 8173.5 8991 9890 10879 11967 13164 14480 15928
D.F(@10%) .9090 .8264 .7513 .6830 .6209 .5644 .5131 .4665 .4241 .3855
PRESENT
VALUE
(Rs m)
6149.5 6149.5 6149.5 6149.5 6149.5 6149.5 6149.5 6149.5 6149.5 6149.5
Net present value = 3500 millions
23. Payback calculation
Year Net cash inflow(Rs m) Cumulative N.C.F (Rs m)
Y1-19 6149.5 116840.5
Y20 6149.5 122990
Payback period = 21years 4months
IRR calculation
NPV @ 20% D.F =6771.1*.8333+7448.2*.6944+8193.1*.5787+9012.4*.4822+9913.6*.4018
+10905.0*.3348+11995.5*.2790+13195*.2325+14514.5*.1918+30671*.161
5-(25972)
=15797.5
NPV @ 10% D.F =3500
IRR = 12.367%
