Juan Gaviria Practice Manager

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1 Juan Gaviria Practice Manager

2 INTRODUCTION The World Bank sees the intersection of digital technology and railways as an opportunity to improve the service and attractiveness of railways. This is good for development, poverty alleviation and climate change; ICT is already part of the Railways core functions: from waybilling to accounting and train control systems; Growing uses in passenger services and logistics make railway services more attractive and competitive.

3 INTRODUCTION: What is the World Bank doing? Railways account for 15% of the total Bank s transport portfolio with a value of $6.6bn; ICT lending operations currently have $1.36bn in 27 projects, focusing on different aspects such as connectivity, digital platforms and cyber security; Important opportunities to apply digital technology in developing countries include: Shared infrastructure; Operations and business support functions; Safety; Improving passenger services with mobile and digital technology; Linking railways into logistics chain.

4 Examples in client countries: Shared Infrastructure INDIAN RAILWAYS: leveraging telecom assets IR had 4,500 km of existing fiber optic network for internal train control, but it had excess capacity; Creation of RailTel in 2000, IR transfers assets to RailTel for it to provide communications services for other uses; Additional 50,000 route-km rolled out along national railway routes by December 2015; RailTel has a contractual arrangement with IR to use the rights of way along approximately 63,000 route-km of railway track to lay fiber optic cable and install other telecom infrastructure; RailTel provides services independently and pays annual dividends. Between 2005 and 2014, RailTel had paid a total dividend of INR 870 million ($14M in 2015 USD) to its only shareholder, the Government of India.

5 Examples in client countries: Improving Service and Safety BRAZIL: Sao Paulo and Rio de Janeiro metro systems. Electronic Ticketing Systems combined with an integrated fare policy (Bilhete Unico); Rail Operational and Security Control Centers (Sao Paulo CPTM) Communications-Based Train Control: Sao Paulo Lines 2 & 4 (in operations) and Lines 1 & 3 (under development)

6 Examples in client countries: Improving Service and Attractiveness INDIAN RAILWAYS: Going Digital & IRCTC Introduction of eticketing; ecatering services: food quality and choice to customers delivered at your train seat; Giving voice to customers: report dirty stations, service lapses, safety issues via mobile app and mobile platforms (Twitter, Facebook) constantly monitored.

7 Examples in client countries: Improving Service and Attractiveness CRC in China: Train information and real time tracking; eticketing and ewallet through mobile app;

8 Examples in client countries: Business Services & Management Romania - Integrated Railway Information System: ICT for infrastructure management, stock management, waybilling and train operations; Azerbaijan: Supporting IFRS accounting and computerization of accounting system; India: Supporting accounting reform to guide the improvement for IR.

9 The future of Railways as part of the logistics chain Systems for integrating Railways into the international logistics chain: - Important market development for railways; - ICT is a critical part of the business model; - North American railways excel in this market; - Can you help us replicate this successful models in developing countries?

10 SUMMARY Important opportunities for digital technologies use in developing countries railways include: - Shared infrastructure (India); - Basic operations (Romania, Azerbaijan); - Safety (Brazil); - Delivering passenger services (India, China, Brazil); - Integrating into the logistics chain we need your help!

11 THANK YOU Juan Gaviria, Practice Manager May 4 5, 2016

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