yes..........it saves foreign exchanges, provide employment and support hundreds other smaller industries means more indirect employment...That's a very nice idea I think paksitan should start making its locomotives....
Pakistan buying 150 railway engines in emergency Chinese suppliers fail to deliver
- Thread starter Mogambo
- Start date
As this seems like a government-to-government contract, wont a wink and a nudge to the Chinese government convince this company to honour its contract?
Also, the Chinese have a great experience building mega railway lines and their quality in this particular area couldn't possibly be too sub-standard. Could this be a case of bad maintainence?
Dr.Evil
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It depends on what quality of railways was bought by Pak and the kind of maintenance given in pakistan.
Similar kind problems occured in east africa on tanzania-Zambia lines. That line is bad with the chinese locomotives that the people are fedup. That's a terrible railway line and engines.
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spliterz
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Root problem in Pakistan Railway is Corruption in procurement department, We used to supply V-Belts to Railway, for example, cost of B-76 belt cost 75 rps to us, and we give them price 100 rps per pc but there officials ask us to fill tender as per their instruction, they instruct us to fill tender with price of 400 rps per pc, usually they demand for 3000 to 4000 belts each size, if we follor their instruction then our tender is 100% approved before even submition,
this is very small example of corruption, if somehow they stop/restrict them to do corruption then i am sure Railway will become a profitable department for gov, otherwise that department will be white elephant for Pakistan gov whatsoever,
this is very small example of corruption, if somehow they stop/restrict them to do corruption then i am sure Railway will become a profitable department for gov, otherwise that department will be white elephant for Pakistan gov whatsoever,
Chinese company fights back to get order for railway engines
ISLAMABAD: After succeeding to win two tenders to supply 144 locomotives to the Pakistan Railways worth billions of rupees, the Chinese locomotive company is trying its best to stop the Railways from purchasing 150 locomotives from America.
But Sardar Ayaz Sadiq, Chairman National Assemblys Standing Committee on Railways, who has criticised these engines as total failure, says the company had signed a contract of $16 million for spare parts of 69 locomotives and if one starts calculating its price, it would turn out to be more than other bidders.
Almost 32 of these 69 engines are out of use permanently and the Chinese company has also not provided the required repairs and maintenance as obligatory under the warranty. Sardar Ayaz Sadiq also alleged that the company had submitted unreliable and unauthentic performance certificates to win the second bid of 75 locomotives. He said that the GM (audit) of PR has also objected to this in an audit para regarding 75 locomotives.
Documents reveal that the Chinese company attached four performance certificates, which were initially not attached with the tender of 75 locomotives but were attached with the documents after the NA Standing Committee on Railways took cognisance of the matter.
The certificates had to be issued by the Railway department of the country to whom the locomotives were to be supplied and were to be attested by the Pakistan Embassy functioning in that country but the documents, which were provided to the National Assemblys Standing Committee on Railways, were not attested by any embassy.
As a response and under immense pressure to buy new locomotives, Pakistan Railways has issued tenders to buy non-Chinese engines and the US Export Import Bank has offered a $400 million suppliers credit if Pakistan purchases the US engines.
The Chinese company, Dong Fang Electric Corporation, has also started writing to various organisations on exclusion from the recent 150 locomotives purchase. PR officials said the Chinese company officials lost their temper before the PR officials on Monday for not getting a chance to bid in the tender for 150 locomotives. The General Manager PR confirmed to The News about the attitude of the Chinese company officials in a pre-bid meeting.
In a recent letter bearing no. DEC-150DEL-10053IT dated May 31, 2010, the Chinese companys project manager, Huang Xue Hui, has written to Transparency International: We won the open international competitive bidding held in 2001 to supply 69 Chinese locomotives to PR for US$98 million, and subsequently also won the open international competitive bidding held in 2007 to supply a further 75 Chinese locomotives to PR for US$105 million. This new contract of 75 locomotives was awarded to us due to the satisfactory service our previous 69 locomotives are giving to PR.
Similarly, when we insisted on purchasing the tender documents on 14-05-2010 and put it in writing that Mr Syed Shahid Ahmad was refusing to issue us the tender document, then the very next day his statement was carried in The News trashing our locomotives and falsely claiming that 32 of them had become scrapped. (The fact is that Railways did not supply spare parts to our locomotives due to their poor operating and maintenance practices and lack of money. They have recently signed a maintenance contract with us for these spares, and as soon as the parts arrive, our locomotives will be back on the track.)
In conclusion, please note we are willing and able to offer PR most competitive pricing for these 150 locomotives as well as financing from Export-Import Bank of China or other financial institutions, the Chinese company letter said.
On the issue of unauthenticated certificates, documents show that 50 locomotives were supplied to Nigerian Railway Corporation in 1997 with a note of praise for the Chinese locomotives. Another performance certificate says that six locomotives were provided to Tanzania-Zambia Railway Authority. This certificate was also not attested by the Pakistan Embassy in the relevant countries.
One of the performance certificates that has been provided to the standing committee to prove the competence of Chinese locomotives states that some 50 units were supplied to Iraq Railways in 2003. This letter also carries a long praise of the locomotives. While the last performance certificate states that some 18 units were supplied to Kuele Loco Shed, Xin Jiang, in 1998. This certificate has also not been certified by any embassy.
The federal minister for railways had publicly stated a few months back that the Sino-Pak friendship had forced the PR to award tender for procurement of 75 locomotives to the Chinese company while he was willing to purchase locomotives from an American company because Railways had a bad experience with the Chinese locomotives.
ISLAMABAD: After succeeding to win two tenders to supply 144 locomotives to the Pakistan Railways worth billions of rupees, the Chinese locomotive company is trying its best to stop the Railways from purchasing 150 locomotives from America.
But Sardar Ayaz Sadiq, Chairman National Assemblys Standing Committee on Railways, who has criticised these engines as total failure, says the company had signed a contract of $16 million for spare parts of 69 locomotives and if one starts calculating its price, it would turn out to be more than other bidders.
Almost 32 of these 69 engines are out of use permanently and the Chinese company has also not provided the required repairs and maintenance as obligatory under the warranty. Sardar Ayaz Sadiq also alleged that the company had submitted unreliable and unauthentic performance certificates to win the second bid of 75 locomotives. He said that the GM (audit) of PR has also objected to this in an audit para regarding 75 locomotives.
Documents reveal that the Chinese company attached four performance certificates, which were initially not attached with the tender of 75 locomotives but were attached with the documents after the NA Standing Committee on Railways took cognisance of the matter.
The certificates had to be issued by the Railway department of the country to whom the locomotives were to be supplied and were to be attested by the Pakistan Embassy functioning in that country but the documents, which were provided to the National Assemblys Standing Committee on Railways, were not attested by any embassy.
As a response and under immense pressure to buy new locomotives, Pakistan Railways has issued tenders to buy non-Chinese engines and the US Export Import Bank has offered a $400 million suppliers credit if Pakistan purchases the US engines.
The Chinese company, Dong Fang Electric Corporation, has also started writing to various organisations on exclusion from the recent 150 locomotives purchase. PR officials said the Chinese company officials lost their temper before the PR officials on Monday for not getting a chance to bid in the tender for 150 locomotives. The General Manager PR confirmed to The News about the attitude of the Chinese company officials in a pre-bid meeting.
In a recent letter bearing no. DEC-150DEL-10053IT dated May 31, 2010, the Chinese companys project manager, Huang Xue Hui, has written to Transparency International: We won the open international competitive bidding held in 2001 to supply 69 Chinese locomotives to PR for US$98 million, and subsequently also won the open international competitive bidding held in 2007 to supply a further 75 Chinese locomotives to PR for US$105 million. This new contract of 75 locomotives was awarded to us due to the satisfactory service our previous 69 locomotives are giving to PR.
Similarly, when we insisted on purchasing the tender documents on 14-05-2010 and put it in writing that Mr Syed Shahid Ahmad was refusing to issue us the tender document, then the very next day his statement was carried in The News trashing our locomotives and falsely claiming that 32 of them had become scrapped. (The fact is that Railways did not supply spare parts to our locomotives due to their poor operating and maintenance practices and lack of money. They have recently signed a maintenance contract with us for these spares, and as soon as the parts arrive, our locomotives will be back on the track.)
In conclusion, please note we are willing and able to offer PR most competitive pricing for these 150 locomotives as well as financing from Export-Import Bank of China or other financial institutions, the Chinese company letter said.
On the issue of unauthenticated certificates, documents show that 50 locomotives were supplied to Nigerian Railway Corporation in 1997 with a note of praise for the Chinese locomotives. Another performance certificate says that six locomotives were provided to Tanzania-Zambia Railway Authority. This certificate was also not attested by the Pakistan Embassy in the relevant countries.
One of the performance certificates that has been provided to the standing committee to prove the competence of Chinese locomotives states that some 50 units were supplied to Iraq Railways in 2003. This letter also carries a long praise of the locomotives. While the last performance certificate states that some 18 units were supplied to Kuele Loco Shed, Xin Jiang, in 1998. This certificate has also not been certified by any embassy.
The federal minister for railways had publicly stated a few months back that the Sino-Pak friendship had forced the PR to award tender for procurement of 75 locomotives to the Chinese company while he was willing to purchase locomotives from an American company because Railways had a bad experience with the Chinese locomotives.
SummerWine
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Knowing how corrupt the PR would be, i am tempted to believe this....
Railway journey could be so much safer and comfortable b/w Lhr-Pindi and other sectors as well, only if Pak railways can be professional at its work. Compared to Daewoo's fares, like 900 rupees for Lahore from Pindi, its too much for a nice bus ride....but railway stations here are not easily approachable,
hope new Locomotives change its fate to some extent
Why should Pakistan buy Locomotives from India when they can buy superior Locomotives from China and the United States of America with at least 85% Loan.
India needs every Locomotive it manufactures if not more for its own use.
In addition even though India has strictly adhered to the IWT the Pakistani Leadership and People are up in Arms accusing India of Stealing Pakistans shares of River Waters and even this has now been accepted as a baseless accusation Pakistanis are still read to declare War on India due to India Stealing Pakistans share of River Waters.
As such even though 32 of the Chinese built Locomotives are lying in the Scrap yard there is hardly any protest by the Pakistanis.
So please, pretty please, keep your Indian built Locomotives for the Indian Railways and let Pakistan Railways import Chinese, Japanese, US or any other Locomotives they desire as they are spending their own money and not Indias!
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