AT6013 Transport Management

Unit II TRANSPORT SYSTEMS

Introduction to various transport systems. Advantages of motor transport. Principal
function of administrative, traffic, secretarial and engineering divisions, chain of
responsibility, forms of ownership by state, municipality, public body and private
undertakings.

1. Meaning & Introduction:

Transport is a means of carrying goods and people from one place to another. Transport refers to
the activity that facilitates physical movement of goods as well as Individuals from location to
another.

Transport plays an important role in today’s modern world. It helps in removing the distance
barrier. An efficient transport system is essential for sustainable economic development of the
country and plays a significant role in promoting national and global integration.

An efficient transport helps in increasing productivity and enhances competitiveness of the

economy. Efficient transport is indispensable to the economic development of nation.

There are various modes of transport that include road transport, rail transport, water transport,
pipelines and air transport.

2. Forms of Transport:

1. Road Transport:

It is the oldest form of transport. It includes various means such as bullock cart, tempo, auto
rickshaw, busses, car etc.

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The advantages of road transport are as follows:

a. It facilitates door-to-door service

b. Road transport is highly flexible. The route can be changed anytime.

c. It is economical for short distance.

d. There are less overheads and less cost in terms of maintenance.

e. It provides personalized service.

2. Rail Transport:

In India railways are owned and managed by the Central Government.

The following are the features of rail transport:

a. It is suitable for bulky goods.

b. It is economical for long distance.

c. There is regularity in the operation of train.

d. There is less pollution, as the train operates on electricity.

e. There is uniformity in rates as the rates are fixed by the government.

3. Water Transport:

India is surrounded by the Bay of Bengal, the Arabian Sea and the Indian Ocean. Therefore it has
a long coastline. Water transport refers to movement of goods and passengers on waterways.
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With the help of these means goods and passengers are carried to different places, both within as
well as outside the country.

The following are the features of water transport:

a) Water transport plays an important role in international trade.

b) It possesses high load carrying capacity.

c) It is a relatively economical mode of transport for bulky and heavy goods.

d) Water transport does not require any special infrastructure like roads, and airport.

e) Sea transport requires large investment on ships and their maintenance.

4. Air Transport:

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Air transport is of recent origin in the development of transport system of a country. Air
transport provides the fastest practical means of transportation. Indian air transport is one of the
fastest developing aviation sectors of the world.

The following are the features of Air transport:

a) Air transport is the most modern and the quickest mode of transport.

b) Air transport is very expensive, as the operating costs of aeroplanes are high.

c) Air transport provides comfortable, efficient and quick transport service

d) Air transport requires less investment on infrastructure.

e) Air transport is free from physical barriers.

f) It plays a significant role in the national defence of the country.

g) Air transport is the most risky form of transport because the chances of accidents are greater
in comparison to other modes of transport.

5. Pipelines
 Refers only to the oil pipelines, not natural gas
 Not suitable for general transportation
 Some research has been performed to move minerals in a liquid medium, but outside
of a few attempts to transport slurried-coal via pipeline, no real successes have
occurred.
 Accessibility is very low.
 Cost structure is highly fixed with low variable costs.
 Own rights-of-way much like the railroads.
 Major advantage is low rates.

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Performance Rating of Modes

Modes
Selection
Determinants Pipeline
Railroad Motor Water Air

Cost 3 4 2 5 1

Transit time 3 2 4 1 ---

Reliability 2 1 4 3 ---

Capability 1 2 4 3 5

Accessibility 2 1 4 3 ---

Security 3 2 4 1 ---

3. Significance of transport:

Transport plays a significant role in the overall economic development. Transportation results
into growth of infrastructure, industrialization and massive production.

Advancement in the transport sector has resulted into comfort and convenience. Well-
functioning transportation systems form the basis for economic prosperity and social well being
of societies.

1. Industrial growth:

Transportation and the Industrial development are interrelated. Without improved modes of
transportation it would have been harder for the industrial producers to produce and then sell
their goods to the wider markets.

Transportation facilitates movement of raw material and other requirement from the place of
supply to the place of production. Efficient transport is indispensable to the economic
development of the nation.

2. Creates employment:

Transport also contributes to economic development through job creation. It creates both direct
and indirect employment opportunities. In India, a sizeable portion of the country’s working
population is directly or indirectly employed in the transport sector.

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It also facilitates movement of labors and thereby encourages employment resulting into
industrial development and thereby economic development.

3. Creates place utility:

Transportation enables movement of commodities from the producer to the final consumer
whenever and wherever they are demanded. It creates place utility. Transportation plays an
essential role in the agricultural sector.

Agricultural requirements are made available to the farmer at a short span of time. It is an
integral part t of commerce. It gives place and time utility to goods by removing them from the
place of production to the places where they are to be consumed.

4. Bring countries closer:

No country in the world is self-sufficient. They have to depend on one another to fulfill their
requirements. Transportation has brought the countries closer. It not only caters to the need of
mobility but also provides comfort and convenience.

Travelling is a part of our daily lives. People travel for business purpose, education purpose I and
vacation purpose etc. The transport system is doing a great job by easing the pain of covering
vast distance of land thereby bringing the countries closer.

5. Serve several purposes:

Transportation provides access to natural resources and promotes trade, allowing a nation to
accumulate wealth and power. Transportation also allows the movement of soldiers, equipment,
and supplies during war.

Hence transportation is vital to a nation’s economy as it serve several purposes. It includes the
manufacture and distribution of vehicles, the production and distribution of fuel, and the
provision of transportation services.

6. Stability in prices:

Goods can be transported to places where there is scarcity and the prices are high from places
where there is surplus and the prices are low. Such transfer of goods from the place of surplus to
the place of scarcity enables to stabilise the prices of the commodity. Thus stability of prices
restricts the local producers to charge prices at their own will. This discourages monopoly and
encourages competition.

7. Specialization and division of labour:

Transport increases the mobility of labour and capital, widens the market that leads to
specialization and division of labour, which helps in stabilizing prices. Specialization provides
employment to a very large number of persons.

It is only due to transport that modern industrial system and large-scale industries are in a
position to develop. Without efficient transport it would not have been possible to procure raw
material, gather large number of workers and distribute the finished goods.
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8. Use of Economic resources:

Transportation enables society to enjoy advantages of specializations of resources, and the

benefits of labour by making it possible for products to be brought great distance, thus avoiding
the necessity for local production for all conceivable commodities of need.

Each economic region can thus concentrate upon the goods and services for which it is best
adapted either through natural resources endowment or through historical development. It, thus,
leads to a better economic use of available resources.

9. Standard of living:

Transportation raises the standard of living, making possible improved housing, clothing, food
and recreation.

4. Recent development in transport sector in India:

India’s transport sector is large and diverse. There has lot of development taken place in the
transport sector. Modes of transportation comprises of roadways, railways, water ways and
airways. The development taken place in various means of transport is:

Roadways in India:

Road network in India is one of the largest networks in the world. The country’s road network
consists of Expressways, National Highways, State Highways, Major District Roads, Other
District Roads and Village Roads. Roads are the dominant mode of transportation in India.

They are an indispensable means of communication and has come a long way. It is today
regarded as one of the most ideal and cost effective modes of transportation in India. The Indian
Roadways play a crucial role in connecting the different parts of India.

Over the years after independence there has been an extensive development of the network; of
roads. Major cities of the States and capital of the state are connected by state highways.

While District roads are connected with village roads. Village roads provide linkage to other
roads in order to meet their daily needs and access to nearby markets. Roads are easily accessible
to each individual.

Roads facilitate movement of both men and materials anywhere within a country. It helps in
socio-economic development as well as brings national integration. It provides linkages to other
modes of transportation like railways, airways, and shipping, etc.

The Indian Roadways play a crucial role in connecting the different parts of India. Over the years
after independence there has been an extensive development of the network of roads across the
length and breadth of India.

Road network of India is the largest road network in the world. India has an extensive network of
major and minor roads as well as a good number of well-maintained networks of national
highways, connecting all major cities and tourist destinations.

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The road transport industry in India has emerged as the dominant part of the transport system.
The road transport mode in India has come to occupy a pivotal position in the overall transport
system in India. This mode is estimated to have a share of about 80% in passenger transport and
60% in freight transport.

A. the National Highways Development Project is a project to, upgrade, rehabilitate and widen
major highways in India to a higher standard. The central government is responsible for
development and maintenance of the National Highway System.

The project was implemented in 1998. “National Highways” account for only about 2% of the
total length of roads, but carry about 40% of the total traffic across the length and breadth of the
country.

This project is managed by the National Highways authority of India. National Highways
Authority of India (NHAI) is authorised (mandate) to implement National Highways
Development Project (NHDP), which is

i. India’s Largest ever highways project

ii. World class roads with uninterrupted traffic flow

The National Highways have a total length of 70,548 km to serve as the arterial network of the
country. The development of National Highways is the responsibility of the Government of
India.

The National Highways Development Project (NHDP) is the largest highway project ever
undertaken by the country, is being implemented by the National Highway Authority of India
(NHAI). NHDP Phase I & II envisage 4/6 lining of about 14,279 km of National Highways.

These two phases of NHDP comprise of Golden Quadrilateral (GQ), North-South and East-West
Corridors, Port Connectivity and other projects. The Golden Quadrilateral connects the four
major cities of Delhi, Mumbai, Chennai and Kolkata. (NS-EW) The North-south & East-West
corridor comprising 4 laning of 7,300 km of National Highway connecting North-south corridor
from Srinagar to Kanyakumari with East-West corridor from Silchar to Probandar.

India is the second largest in the world. Indian roads carry about 61% of the freight and 85% of
the passenger traffic. All the highways and expressways together constitute about 66,000
kilometers. National Highways Authority of India (NHAI) is the apex Government body for
implementing the NHDP.

B. Special Accelerated Road Development Programme (SARD):

This programme was introduced to improve the road connectivity with state capital, district
headquarters and remote places in the North-eastern region. This programme facilitated in
connecting 85 district headquarters in the North-eastern states to national highways and state
roads.

The Special Accelerated Road Development Programme for North East (SARDP-NE) envisages
widening of 3,251 km of National Highways, improvement including widening of 1,257 km of
State roads and two-laning of 1,888 km of general staff roads in the region.
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Railways in India:

Railways are today the predominant form of-transportation in India. The Indian Railways is
among one of largest railway systems in the world. India’s railroad system is the government’s
largest public enterprise. The Indian Railways is state-owned and operated by the Ministry of
Railways.

Today, it has completed its glorious 150 years of services for the nation. Indian Railways is one
of the largest railways under single management. It is one of the world’s largest employers.
Indian railways, the largest rail network in Asia and the world’s second largest under one
management.

The railways play a leading role in carrying passengers and cargo across India’s vast territory.
The Indian Railways have played an integrating role in the social and economic development of
the country.

Recent development in rail transport:

1. There has been a tremendous development in its financial status, safety, security, projects,
technology and moreover its quality service to the people. Initiatives like online ticket booking,
computer-based reservation system, IVRS Interactive voice response system, and introduction of
smart cards have improved the Indian railways considerably.

2. The Indian Railways, today, provide the principal mode of transportation for freight and
passengers in India. It is one of the largest networks in the world with a total of 63,221 km and
providing employment to 1.54 million people. Journey by train has become one of the cheapest
and convenient ways of transportation for people of all sections of the society.

3. Indian Railways has seen major technological developments in recent years. These include

a. Electrification of more tracks,

b. Development of more efficient locomotives, and

c. Advancement in terms of passenger amenities including better catering, toilet provisions and
security features.

d. Facilities like Internet access and satellite phone are in the pipeline.

4. Advanced safety features have been incorporated to minimize accidents, while modern
coaches have been imported for certain trains. Fast trains like the Shatabdi Express and the
Rajdhani Express have made long distance train journey a relatively fast and comfortable.

5. Railways have also been modernized in terms of technology, ticketing, computerization and
overall management.

Aviation Sector:

Air transport is the most modern and the quickest mode of transport. Because of its speed travel
by air is becoming popular. It not only saves time but, also reduces the tiredness involve in
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covering long distance. It is not a feasible means of transportation for all because of the inflated
fares.

However, it is considered to be the fastest and easiest means of transportation. It operates to 57

domestic stations and 17 international stations. Some of the leading domestic private airlines are
Air Sahara, Jet Airways and Air Deccan etc.

Development in the air transport:

Indian aviation industry has shown a tremendous growth in the post- liberalised era. The
following are the development in the aviation industry

1. The development of airports is no longer solely under the public sector; instead private
participation is allowed and encouraged. New International airports are to be set up in Bangalore,
Hyderabad and Goa with the help of the private sector.

2. The Indian aviation industry is one of the fastest-growing aviation industries in the world. The
Government has adopted a liberal civil aviation policy with a view to improve domestic services.

3. Along with travel agent, Internet is now evolving as an important medium for ticket booking.

Shipping transport:

Shipping transport is the process of moving people, goods, etc. by barge, boat, ship or sailboat
over a sea, ocean, lake, canal, river, etc. Shipping plays an important role in the transport sector
of India’s economy.

Indian maritime sector facilitates not only transportation of national and international cargo but
also provides a variety of other services such as cargo handling services, shipbuilding and ship
repairing, freight forwarding, lighthouse facilities and training of marine personnel, etc.

In recent times, developments and advancements in sea transportation had great impacts on
international trade. Shipping is a global industry and is closely tied to the level of economic
activity in the world.

The demands for shipping activities are rapidly growing. The shipping corporation of India is the
biggest Indian shipping company owned by the Government of India.

Development in the shipping transport:

1. There are 12 major ports and more than 139 minor and intermediate ports in India.

2. The training of personnel acquired a new dimension with the setting up of a Maritime training
institute at powai, Mumbai. This institute has modern training facilities so as to ensure that the
skill and expertise of shipping personnel in an international level.

3. To improve the efficiency and competitiveness in import services port sector has been open to
private sector also.

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Advantages of Road Transport:

1. Less Investment:

Roads need less capital than the railways. Laying of railway line needs much capital than road.
So it is cheaper.

2. Door to Door Service:

Railways have the drawback that they cannot go to each village while road transport provides
door to door service. So it is more beneficial.

3. Flexibility in Service:

Unlike railways, the road transport provides flexible service to men and materials.

4. Employment:

Road transport provides emplo3mient to many persons directly and indirectly.

5. Useful for Small Distances:

While railways are useful in long distances, road transport is useful in small distances.

6. Complementary to Rail Transport:

Road transport is helpful to rail transport. People reach railway station taking the help of road
transport so it provides feeder service to rail transport.

7. Personal Service:

Rail transport is managed by Govt. alone while road transport has private and public carriers. So
there is completion in road transport. Even people have their own vehicles. So it is also a kind of
personal service.

8. Helpful in Production of Perishable Goods:

Road transport is helpful in production of perishable goods as it facilitates the distribution of

perishable goods from point of production to point of consumption.

9. Beneficial to Industries:

Industries which are situated away from railway links, the road transport helps them a lot. It
facilitates the mobility of men and materials for these industries.

Disadvantages of Road Transport:

The following are the disadvantages of road transport system:

1. Frequent Accidents:
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Road transport system is dotted with frequent accidents. According to an estimate, there are large
number of deaths due to road accidents. So it is not safer mode of transport.

2. Inadequate Roads:

Most of the roads are in bad shape and are inadequate. There are only 34 km long roads per 100
sq. km area in India while in Japan 270 km roads per 100 sq. km.

3. Heavy Taxes:

There is heavy tax burden on motor transport in India. Tax burden per motor vehicle in India is
Rs. 3500 while in America it is Rs. 860.

4. Poor Maintenance of Roads:

Roads are not maintained properly in India. Less than 0.1 percent of national income is spent on
the maintenance of roads in India, while in Japan it is 3 percent of the national income.

5. Rising Cost of Petrol and Diesel:

Due to high prices of petroleum products and diesel, operational costs of road transport are rising
and making the mode of transport more costlier.

6. Unsuitable for Long Distances and Bulky Goods:

Road transport is unsuitable for long distances as it is uncomfortable as compared to railways. It

is also not suitable for bulky goods.

Transport Administration

The major objectives are the following:-

 Efficient delivery of all its services to the citizens;

 Maximizing revenue to the Government by ensuring that all taxes and fees on
vehicles are collected without any leakage;
 Promoting Road Safety and providing relief to the victims of road accidents;
 Controlling vehicular pollution.
Ministry of road Transport and Highways
An apex organization under the Central Government, is entrusted with the task of formulating
and administering, in consultation with other Central Ministries/Departments, State
Governments/UT Administrations, organizations and individuals, policies for Road Transport,
National Highways and Transport Research with a view to increasing the mobility and efficiency
of the road transport system in the country. The Ministry has two wings: Roads wing and
Transport wing.

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 ROADS WING
Deals with development and maintenance of National Highway in the country
Main Responsibilities:
 Planning, development and maintenance of National Highways in the country.
 Extends technical and financial support to State Governments for the development of state roads
and the roads of inter-state connectivity and economic importance
 Evolves standard specifications for roads and bridges in the country.
 Serves as a repository of technical knowledge on roads and bridges.
TRANSPORT WING
Deals with matter relating to Road Transport
Main Responsibilities:
 Motor Vehicle legislation.
 Administration of the Motor Vehicles Act, 1988.
 Taxation of motor vehicles.
 Compulsory insurance of motor vehicles.
 Administration of the Road Transport Corporations Act, 1950.
 And promotion of Transport co-operatives in the field of motor transport.
 Evolves road safety standards in the form of a National Policy on Road Safety and by preparing
and implementing the Annual Road Safety Plan.
 Collects, compiles and analyses road accident statistics and takes steps for developing a Road
Safety Culture in the country by involving the members of public and organising various
awareness campaigns.
 Provides grants-in-aid to Non-Governmental Organisations in accordance with the laid down
guidelines.

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 Administrative units

Powers and Duties of Officers and Employees

This Department is headed by a Secretary who is an I.A.S officer and who acts as the
administrative head of the Department and advisor to the Ministers for Transport. One Joint
Secretary in the cadre of I.A.S. He is assisted in the Secretariat, by 2 Deputy Secretaries and 4
Under Secretaries along with 12 Section Officers and 19 Assistant Section Officers. This
Department is responsible for formulation of policies of the Government in respect of Transport
Department and also for the execution of various schemes to be implemented for the betterment
of the targeted sections of the society.
The powers and duties of the officers in the department of Secretariat are indicated below:-
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Secretary to Government
The Secretary is the head of office. He is responsible for the careful observance of the Business
Rules and Secretariat Instructions in the transaction of the business in the department. He
exercises general supervision and control over the staff under him including Deputy Secretary
and Under Secretary and is responsible for seeing that the members of the staff do the work
allotted to them efficiently and expeditiously. Policy matters and all important matter should be
dealt with in consultation with the Secretary who will be in over all charge of the Department.
Deputy Secretary to Government
The Deputy Secretary will deal with cases relating to the subjects allotted and submit to
Secretary such cases as may be specified. They can send cases for orders direct to the Minister
with reference to the general directions of the Secretary. The Deputy Secretary also exercises
control over the sections placed in his charge both in regard to dispatch of business and in regard
to discipline.
A Joint Secretary to Government
He will dealt with cases relating to traffic of State Transport Undertakings, technical
establishment, Motor Vehicles Maintenance Department, Wage settlement, Road acquisition for
Railway and Airports etc.
Under Secretary to Government
The Under Secretary exercises control over the sections placed in his charge both in regard to
dispatch of business and in regard to discipline.
Section Officer
The Section Officer is in charge of a section of a Secretariat Department. He is assisted by a
certain number of Assistant Section Officers who work under his direction and control. He is
responsible for all files relating to the subjects allotted to the Assistant Section Officer under
him. He is directly responsible to the officers under whom he works for the efficient and
expeditious dispatch of business at all stages in his section and for office routine and procedure.
Assistant Section Officer, Assistants, Personal Clerks and Typists
The main duties of the Assistant Section Officers in a section are to put up notes and drafts,
maintain the Personal Registers and also assist the Section Officers in their section work. The
assistants are expected to attend to routine items of work such as comparing, dispatching,
indexing and docketing of closed papers. They shall also maintain the prescribed periodical
registers and put up reminders. The typists are expected to type notes and drafts and to fair copy
all communications to be dispatched. They will compare the matter typed by them with the
Assistant Section Officer concerned or with the Assistant of the section, as the need arises
Private Secretaries, Personal Assistants and Personal Clerks
The Private Secretaries, Personal Assistants and Personal Clerks do the shorthand work for the
Secretary or other officer, as the case may be and such other items of work as are entrusted to
them.

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 Organizational Setup

J.T.C - Joint Transport Commissioner

D.T.C. - Deputy Transport Commissioner
C.A.O. - Chief Accounts Officer
L.O. - Law Officer
A.D.(I A.W) - Assistant Director, (Internal Audit wing)
A.D.S.- Assistant Director of Statistics
A.O. - Accounts Officer
S/STAT - Secy, State Transport Appellate Tribunal
D.R. - Departmental Representative
A.A.O - Assistant Accounts Officer

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 Organizational Setup Field Officers

RTO - Regional Transport Officer

PA - RTO - Personnel Assistant to RTO
MVI - Gr - I - Motor Vehicle Inspector - Grade – I
A – Assistant
MVI - Gr - II - Motor Vehicle Inspector - Grade – II
JA - Junior Assistant

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