The Presentation provides insight of actual implementation of the bus cluster scheme in Delhi. The government launched the scheme in 2008 . However, the project saw the light of the day in May 2011...it is expanding rapidly...please share your feedback at info@valoriserconsultants.com.

1. “Delhi Transit”
Corporatization of Private Stage Carriage Scheme
Prepared by
Valoriser Consultants
(Previously known as Research India)
Phone: 011-65028027 / 25985380
Email: info@valoriserconsultants.com

2. Declining Share of Public Transport,
especially Bus Transport
Modal Split - % of Person Trips (excluding walk trips) in Delhi*
(Figures in Percent)
59.8%
2000-01
41.5%
2007-08
21.5%
17.2%
13.9%
10.3% 7.9%
3.1% 3.6% 4.1% 5.3% 6.8% 3.6%
0.0% 0.7% 0.7%
Car Two Wheelers Auto Rickshaw Bus Metro Train (IR) Bicycle Cycle Rickshaws
* Walk-only trips account for 35% of trips
© 2011 Valoriser Consultants – For Information Use Only 2

3. Buses in Delhi - Earlier
Delhi Transport Private Stage Carriage -
Corporation Bluelines
• State owned • Privately owned
• Fares set by Government • Fares set by Government
• Reliant on Fare box Revenue
• Get Gap-funding from the
Govt. • 77% of owners have one
vehicle
• No performance monitoring
© 2011 Valoriser Consultants – For Information Use Only 3

4. Changing Face of Public Bus Operation in
Delhi
© 2011 Valoriser Consultants – For Information Use Only 4

5. Issues in Private Bus Operation
• 49% of bus routes are non-operational
• Lack of network benefits
• Undesirable driving practices
– Accidents and traffic violations
– Predation by incumbents or cartelization
• Unreliable bus service - absence of bus
route/schedule information
• Under investment
© 2011 Valoriser Consultants – For Information Use Only 5

6. Launch of New Cluster Scheme in Delhi –
May 05, 2011
© 2011 Valoriser Consultants – For Information Use Only 6

7. Characteristics of Scheme for
Corportisation of Private Stage Carriage
• Routes clustered (657 bus routes classified in 17
Key Facts Clusters) so as to leverage network synergies.
• Public Operator (DTC) and Private Operator will
run the operation in the ratio of 40:60.
Unified Time • Public and Private operator will follow Unified
Table (UTT) Time Table to ensure timely and reliable bus
service to public.
Profit
• Resource contract
Contract Type – Revenue
• No transfer of revenue risk Support
Gross Cost Cost
• Revenue paid to
Funding
Government
Govt Operator
© 2011 Valoriser Consultants – For Information Use Only 7

8. Consolidated Yearly Fare (CYF) –
Scientific Bid Parameters
Bid is designed in scientific manner, dividing yearly fare into three
key components – Capital, Consumables and Manpower.
• Capital Charges are fixed for the entire Concession
Capital Charges
Period.
• Consumables Charges include cost of fuel and
Consumables maintenance expenditure, are linked to Consumer
Charges Price Index for Industrial Workers (CPI-IW) in
Delhi.
• Manpower and Overhead Charges include other
Manpower and
costs, are linked to Consumer Price Index for
Overhead Charges
Industrial Workers (CPI-IW) in Delhi.
© 2011 Valoriser Consultants – For Information Use Only 8

9. Performance Management System
A performance incentive system is
implemented to reward or penalize the
operator on the basis of the quality of service
delivered.
• Reliability and Frequency
• Safety
• Quality such as cleanliness etc.
© 2011 Valoriser Consultants – For Information Use Only 9

10. Changing Face of Private Bus Operation in
Delhi
© 2011 Valoriser Consultants – For Information Use Only 10

11. Characteristics of Bus Network in Delhi
Delhi Metro
Transit Feeder Public Bus Fleets in Delhi is
provided by three key players –
Delhi Transport Corporation (DTC)
– Public Operation, Delhi Transit –
Private Operation and Metro
DTC
Feeder buses.
• Delhi Transport Corporation (DTC) is currently
operating a fleet of around 5,500 buses (including
3,775 Low Floor Buses).
• Bluelines buses has been phased out from the city
from 31st January 2011. It has been replaced by
cluster scheme under which corporate entities were
proposed to be given certain routes in the city.
© 2011 Valoriser Consultants – For Information Use Only 11

12. Performance Regime – Structure of
Penalties and Bonus
Payment for basic service output 100%
Non-Operated Deduction for service not operated
150%
Mileage due to factors within operator control
Elements at Risk
Proportional to
Cleanliness Deduction for proportion of service Rs.
kilometres not run
/Condition operated by vehicles meeting set standards 500* or service standards
below minimum
specifications
Basic Deduction for service failing to meet -10%
Reliability minimum performance standards max
Overall Performance +15%
Payment for service exceeding
Reward (incl. Max
Punctuality)
minimum performance standards
* Per default - Provision of penalty on entire fleet on 10% sample checks.
© 2011 Valoriser Consultants – For Information Use Only 12

13. Automated Vehicle Location System
• DIMTS is installing GPS devices in all the buses
operating of city bus routes.
• Currently, the system is installed in more than
3,000 buses and is proposed to cover all 11,000
stage carriage buses in the city.
• All cluster buses are fitted with GPS and are
monitored in Central Control Room.
• In the second phase, the government has
proposed to install system in para-transit and
taxis in the city.
© 2011 Valoriser Consultants – For Information Use Only 13

14. Revenue Management and Electronic
Ticketing Machines
• 100% Electronic ticketing introduced with on line
ETM machines.
• Special checking squad has been deployed at key
ETM locations to check ticketless travelers to prevent
revenue leakage.
• Real time tickets sold and traffic situation is
available at Operational Control Centre.
© 2011 Valoriser Consultants – For Information Use Only 14

15. Voice Announcement System
• Integrated voice announcement system has been
integrated with feed from GPS unit to facilitate
voice announcement and display of names of
IVRS approaching bus stops in the cluster buses for
convenience of passengers.
• The system announce the approaching bus stops
twice along with general awareness messages.
© 2011 Valoriser Consultants – For Information Use Only 15

16. Closed Circuit Television (CCTV) Cameras
in the Buses
• There is plan to install CCTVs cameras in the
buses with real-time feed to the control centre.
CCTV Camera • Two cameras will be installed inside the buses
(one front & one middle) and third camera will be
installed to capture outside front view to check
driving habits and passenger loads at BQSs.
© 2011 Valoriser Consultants – For Information Use Only 16

17. Better Management – Well trained Drivers
& Conductors
• The Concessionaire ensure that Drivers are
qualified and medically fits.
• Special training sessions are organized for drivers
with bus manufacturer at Tata Service Station.
IDTR and other behavioral institutes.
• Ticket collectors (conductors) are deployed by
DIMTS and are well qualified to operate ETM
Machines.
• All conductors are well trained and went through
rigorous training process.
© 2011 Valoriser Consultants – For Information Use Only 17

18. Operational Performance – Delhi Transit
Cluster Service
There is major improvement in the service over the period and No
fatal or major accidents reported during this period.
Fleet Utilization and Operational Efficiency, May – Average Ticked Earning Per Bus/Day – Gross Vs.
July, 2011 (Figures in %) Net, May – July, 2011 (Figures in Rs.)
8800
8351
7,751 8,000
7398
6,798
10 0 . 0 % 10 0 . 0 % 10 0 . 0 % 10 0 . 0 % 6451
99.7% 99.8% 5,851
99.6%
98.6%
May-11 Jun-11 Jul-11 Aug-11
May-11 Jun-11 Jul-11 Aug-11
Fleet Utilization Operational Efficiency
Gross (With DTC Pass) Net (Actual Collection)
Vehicle Utilization, May – July, 2011 Average no. of passengers, May – July, 2011
(Figures in kms/per day) (Figures in passenger / per bus)
2 13
2 0 9 . 50 959 1000
842
709
2 0 1. 77
19 5. 8 0
May-11 Jun-11 Jul-11 Aug-11 May-11 Jun-11 Jul-11 Aug-11
© 2011 Valoriser Consultants – For Information Use Only 18

19. Induction Schedule
Induction of Number of Buses Cluster 1 – 5 (Month wise), May’11-Jan’12
(Figures in Number)
40 40
40
48 48
52
33 35
34
41 40
41 27 26 27
50 50 50 50 41 37
0 31 32
May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Jan-12 Feb-12
Cluster 1 Cluster 2 Cluster 3 Cluster 4 Cluster 5
The cabinet will award of Clusters 6-9, consisting of 1,551
buses soon.
Note:-The above induction schedule is subject to development of depot by Transport Department.
© 2011 Valoriser Consultants – For Information Use Only 19

20. Cluster Scheme towards Sustainable
Transport
• Less financial burden Transport
compared to public operation Department
• Better accountability and
services • Timely and Reliable
Service
• Professionally managed
bus operation
Delhi Corporatization
Transport Public /
of Private Stage
Corporation Citizens
Carriage
• No competition on the
road with private buses
• Unified Time Table (UTT)
to ensure no unhealthy
competition
• No Revenue Risk – Gross Cost
Operator • Major costs are link to cost
indexation
© 2011 Valoriser Consultants – For Information Use Only 20

21. Thank You!!!