Development of Backward Areas |
Development of Backward Areas |
| 9.1 There has been a
persistent and vociferous demand for capital intensive
transport projects, particularly, for railway lines on
the ground of development of backward regions. The same
reason has been put forward even for construction of
airports. In the recent years, this argument seems to
have gained acceptability if one goes by the long list of
railway line projects taken up by the Railways for
implementation. 9.2 The need for adequate and efficient transport system for economic development is well known. However, endowing an area with a railhead or an airport cannot automatically lead to its development. However, if transport facility is a part of overall development plan for the region and selection of the mode and the project has been made on rational and objective criteria, its creation will be essential. To begin with, the development of backward region may require a flexible mode like road transport instead of railhead. In difficult terrains which make surface routes circuitous, air transport may have an edge on the ground of substantial saving in time and therefore, turn out to be the preferred mode. But certainly this is not the case in plain areas where surface modes of transport can provide flexible transport services with better frequency. It is, therefore, necessary that while considering the creation of new transport facility in backward region, it must be borne in mind that transport is only one of the essential elements for development of the region and it is not necessary that only highly capital intensive transport projects will bring about economic development. Selection of the right mode is important. 9.3 There has also been persistent demand for subsidisation of transport operations in backward and remote areas on the ground that the traffic and low level of income would not generate a kind of demand which can bear the cost of providing transport services. There is merit in this argument. The responsibility of ensuring efficient operation of transport services in these regions is that of the State. But it does not necessarily mean that the state should be direct provider of these services. Whether this is a provision of road transport services in the backward area or air services in isolated and hilly region, the State should auction and award routes on the basis of lowest subsidy sought by the operators so that benefits are targeted and losses become apparent. |
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