India - Calcutta Urban Transport Project

Document of The World Bank TeWlBnn FOR OFFICIAL USE ONLY Report No. 2884-IN INDIA STAFF APPRAISAL REPORT CALCUTTA URBAN TRANSPORT PROJECT May 9, 1980 Urban Projects Department This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  CURRENCY EQUIVALENTS (As of May 2, 1980) Currency lUnit Rupees (Rs) US$1.0 = Rs 7.9712 Rs 1.00 = US$0.12545 1 paise = Rs 0.01 Rs 1 lakh (10 = US$12,545 Rs I crore (10 ) US$1.25 million (Since September 24, 1975, the Rupee has been fixed against a "basket" of currencies. As these currencies are floating, the US Dollar/Rupee exchange rate is subject to change. Conversions in the Staff Appraisal Report were made at US$1.00 to Rs 8.40, which represents the projected exchange rate over the disburse- ment period). MEASURES AND EQUIVALENTS 1 meter (mN = 39.37 inches (in) or 3.28 ft 1 square meter (mi3) = 10.8 square feet (sq ft) I cubic meter (mi ) = 35.3 cubic feet (cu ft) 1 kilometer (km) = 0.62 mile (mi) 1 square kilometer (km ) = 0.386 sq miles I hectare (ha) = 2.47 acres (ac) or 10,000 sq meters PRINCIPAL ABBREVIATIONS AND ACRONYMIS BEST Bombay Electrical Supply and Transport Undertaking of the Bombay Municipal Corporation CC Calcutta Corporation CMD = Calcutta Metropolitan District CMDA = Calcutta Metropolitan Development Authority CSTC = Calcutta State Transport Corporation CTC = Calcutta Tramways Company, Ltd. GOT = Government of India GOllB = Government of West Bengal IDA I = First Calcutta Urban Development Project (Credit 427-IN) IDA II Second Calcutta Urban Development Project (Credit 756-IN) MVA = Motor Vehicle Act, 1939 PVD = Public Vehicles Department RTA = Regional Transport Authority FISCAL YEAR April I - March 31  INDIA FOR OFFICIAL USE ONLY STAFF APPRAISAL REPORT CALCUTTA URBAN TRANSPORT PROJECT Table of Contents Page No. I. SECTOR BACKGROUND ...................... .1 A. Urban Development in India and West Bengal . . B. Calcutta Metropolitan District 1 . C. Bank Group Role and Strategy in the Calcutta Urban Sector 2 D. Urban Transport in Calcutta .. 4 E, GOWB Policy and Strategy for Development of Public Transport System in the CMD . .11 II. THE PROJECT ....................................... 13 A. Project Objectives .13 B. Main Features ...13 C. Detailed Project Description ........................... 14 III. PROJECT COSTS AND FINANCING ................................ 23 A. Cost Estimates ..... . ....... 23 B. Financing ..25 IV. PROJECT ORGANIZATION, MANAGEMENT AND FINANCE... 26 A. Project Coordination .26 B. Public Transport Planning and Administration .26 C. Calcutta State Transport Corporation .28 D. Calcutta Tramways Company, Ltd. .35 E. The Private Sector .40 F. Calcutta Metropolitan Development Authority .41 V. PROJECT IMPLEMENTATION .42 As Implementation Schedule ..42 B. Procurement ...42 C. Disbursement ..44 D. Accounts, Atidit and Progress Reporting . .45 E. Monitoring and Evaluation ..46 F. Supervision Requirements . .46 This report was prepared by Karl Willen and Bernard Verdier (Bank) assisted by David Cook and Maurice Mould (Bank) who together with S. K. Aiyar, E.A. Aust, D. Colston and M. Narurkar (Consultants) formed the appraisaLl mission in October-November 1979. A follow-up mission in March 1980 consisting of Karl Willen and Bernard Verdier completed appraisal. This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contenu may not otherwise be disclosed without World Bank authorization.  -ii - Table of Contents (Continued) Page No. VI. PROJECT JUSTIFICATION ...... ......................... ..... . 46 A. Economic Evaluation . .............. . ........ *........ 46 B. Impact on the Urban Poor ............................... 48 C. Risks and Uncertainties *..***...**..**....... a.* ... . ..... 48 VII. RECOMMENDATIONS ........... ........................ a a * ................ 49 ANNEXES 1 Bus Fare Structures in Calcutta, Bombay, and Madras 52 2 CSTC Component, Bus Procurement 53 3 CSTC Bus Depot Capacity 57 4 Detailed Project Costs 58 5 CSTC Organization Chart 61 6 CSTC Financial Statements 62 7 CTC Organization Chart 65 8 CTC Financial Statements 66 9 Selected Documents and Data Available in the Project File 69 MAPS 1 Calcutta Metropolitan District (IBRD 14934) 2 Traffic Engineering and Management Schemes (IBRD 14935) 3 Location of CSTC and CTC Workshops, Depots and Terminals (IBRD 14936) 4 Route Coverage of Private Buses, CSTC Buses and CTC Trams (IBRD 14937)  INDIA CALCUTTA URBAN TRANSPORT PROJECT I. SECTOR BACKGROUND A. Urban Development in India and West Bengal 1.01 With a present urban population of 137 million, about 21% of a total population of about 650 million, India stands as one of the most urbanized developing countries with comparable GNP per capita. The urban population grows at a yearly rate of 3-3.5% adding 4.3 million persons annually to the Indian city centers. Urban growth is fairly evenly distributed but is more significant in the about 135 medium-sized cities with populations between 100,000 and 1,000,000 which grew at an average rate of 6.6% annually between 1961-71 and which account for 527 of all urban population. The nine largest cities with populations of more than one million are growing at an average annual rate of 3.3%. 1.02 If the present trends in urban population growth continue, the total urban population would be about 300 million by the year 2000 and by the same time 43 Indian cities would have populations of over one million. 1.03 West Bengal is the second most densely populated state in India after Kerala. In 1976, its population approximated 49 million with about 13 million (or 27%) living in urban areas. Calcutta, the capital of West Bengal, is the largest metropolis in India. The population living in the Calcutta Metropolitan District (CMD) is growing at an average annual rate of 2.2% and is in 1980 approaching 10 million or over 75% of West Bengal's urban population. B. Calcutta Metropolitan District Perspective 1.04 The CMD, stretching north and south for almost 70 km along both sides of the Hooghly River, is not a single administrative unit, but it has been delineated as a planning region through legislative action by GOWB. It remains the dominant urban center in the eastern India region. The esti- mated 9.9 million people living in the CMD represent 46% of the total urban population of the region; the remainder live in the small cities and towns that dot the 640,000 square kilometers of the region. About 61% of the CMD population, or about 6 million people, belong to households in the econo- mically weaker section, with a monthly income of Rs 350 (US$41.7 equivalent) or less per household. The CMD is the slowest growing metropolis in India, yet it continues to add about 200,000 persons annually to its population in spite of continuing serious deficiencies in environment, infrastructure, public  LServ l 7 c lg rt>n~ ro . ,t 3. .7 million of the CN population is within h-G e;.`5S admi-nistrative area on the east bank of the z7' ; ation is about 2.3 million concentrated L,a 4.rS;y i.-s -i l. . , riun'palities opposite the CC. Gross popula- o.Cse, r n,A -aa->>rages about 330 persons per ha (reaching .se.7s ai Le'ts)7 coimpared with 150-180 in municipali- t-'ess c.70se t.e rsSac ls. smalle torrns and rural areas on the fringe of i. conoin _`niag and service activ-ties predominate in the CMD. In n tue znu-.af tuirrin Sa