Case Study of the Auto- Sector in

3rd Research Symposium on Urban Urban Mobility 2012

Akshay Mani EMBARQ India Methodology: Thematic Areas Thematic area Information included Mumbai Profile Area and demographics Traffic and transportation Regulations Permits Meters Market Characteristics Fleet Size Age of fleet Engine and fuel characteristics Operational Characteristics High demand locations Daily trip characteristics Driver Profile Age profile Owner and renter drivers Economics Driver revenues and costs User Profile Age profile Gender profile Income profile Time of day characteristics Trip purpose Safety Road safety aspects of auto- Infrastructure Auto-rickshaw stands Current Challenges Drivers Passengers Government Mumbai Profile

Population: Greater Mumbai is > 12.5 million total Suburban Mumbai is 9.3 million Area: Greater Mumbai Total is 437.71 sq. km Suburban Mumbai is 370 sq km Density: over 20,000 per sq km Auto-rickshaw Sector – Background Market Size

Source: Regional Transport Offices (RTOs) Auto-rickshaw Sector – Background Mode Shares

Source: Comprehensive Mobility Plans (CMPs) of cities Methodology: Survey and Observation Locations Current Policy Environment

Central State City

Ministry of Road No direct policy Transport and Department of focus on auto- Highways Motor Vehicles rickshaws (MORTH)

Central Motor State Motor Vehicle Rules, Vehicle Rules 1989 Focus Areas

Regulation

Market Characteristics

Operational Driver and User Characteristics Profile and Economics Regulations: Permits

Permits: 109,000 of which 9,762 are not in use Cap on new permits Permit Price Paid by Drivers: 0% 0% 0% 1% 2% 3% Legal Permit fee: Rs. 100 Rs. 1 - 100 Rs. 100 - 10,000 11% Average Price: Rs. 68,000 11% Rs. 10,000-20,000 Rs. 20,000-30,000 Drivers lease permits from 16% Rs. 30,000-40,000 Rs. 40,000-50,000 24% permit-holders for a period Rs. 50,000-60,000 Rs. 60,000-70,000 of 5 to 10 years Rs. 70,000-80,000 32% Rs. 80,000-90,000 No Fleet auto-rickshaw Rs. 90,000-100,000 scheme yet passed

Regulations: Fares

Contribution of Different Factors to Average

Parameters Share

Interest & Depreciation 8.7% Hakim Committee First established in Maintenance Cost 17.4% 1996 (only taxis) Reconstituted in Living & Related Cost 19.6% 2012 Recent fare increase for auto-rickshaws Petrol Cost 52.2% and taxis in Mumbai

Insurance & Tax 2.1%

Total 100% Market Characteristics

11-15 years Vehicle Age <1 year Engine Type 3% 0%

4-stroke 23%

6-10 years 42% 1-5 years 55% 2-stroke 77%

Petrol Fuel Type 2%

CNG 98% Operational Characteristics

Parameter Value

Average hours of operation 10

Average daily kilometers 105 traveled

Average share of empty 10.2% kilometers traveled

Average trip length 5.8 kms

Average daily trips 18 High Demand Locations

Andheri

Band Stand

Bandra Kurla Complex 9%

6% 23% Chakala

5% Chembur

9% Juhu

11% Kurla 5%

Maharasthra Industrial 5% Development Corporation (MIDC) 7% 20% Sakinaka

Santacruz Profile of Auto-rickshaw Drivers

50-60 years Driver Age Renter vs Owner 4% <20 years 0%

20-30 years 16% Owner-Driver 20% 40-50 years 28%

Renter-Driver 30-40 years 80% 52% Driver Economics

Renter-Driver Owner-Driver Capital Costs (Rs):

Permit - 67,900 Vehicle incl. taxes & fees - 165,730

Equated daily installment 95 (EDI) for permit and vehicle

Daily Costs (Rs.):

Fuel 130 130 Rent 160 - Other Costs (Rs.):

Maintenance (monthly - 40 average divided by 26 days)

TOTAL DAILY COSTS: 290 265

Daily Revenue (Rs.):

Fares 650 650 TOTAL DAILY REVENUE: 650 650

Total Daily Earnings (Rs.) 360 385

Profile of Auto-rickshaw Users

Passenger Age Passenger Gender

2% 3%

11% <20 years 23% 20-30 years Female 30-40 years 39% 24% 40-50 years Male 50-60 years 61% 37% >70 years

Passenger Income 0% 1% 3% 3%

< Rs. 5,000 13% 22% Rs. 5,000-10,000 Rs. 10,000-20,000 Rs. 20,000-30,000 Rs. 30,000-40,000 Rs. 40,000-50,000 58% > Rs. 50,000 Trip Characteristics

Number of Trips per Week Trip Purpose 20-25 25-30 Health Care School 2% 0% 7% 15-20 7% 2% Recreation 1-5 0% 23% Shopping 10%

5-10 10-15 15% Work 58% 76%

Trip Timing 90% 80% 83% 70% 60% 66.70% 50% 40% 30% 20% 21.50% 10% 1% 11.20% 0% Morning Midday Afternoon Evening Late Night Auto-rickshaw Impacts on Pedestrian Safety Infrastructure

Bandra E Bandra W Infrastructure

Jogeshwari East Santacruz E

Khar W Andheri E Driver Challenges

Key Issues Facing Auto-Rickshaw Drivers Union Perspective: Police and Traffic Police

4% Lack of driver 4% Police and Traffic Police charging fines education and 11% 35% Passengers healthcare

14% Lack of permits Traffic

Disagreements over fares

32% Other User Advantages

Fast, saves time 1% 2% 5% Faster than the 4%

5% Good when have luggage

5% Safe 43%

6% Same price or cheaper than bus Comfortable

Availability

29% Provides access where bus doesn't Other User Challenges

Key Issues Facing Auto-Rickshaw Users Consumer Group Refusals Perspective: Lack of Availability Lack of availability, refusals 2% 11% Overcharging/price Overcharging 3% disagreements 4% Rude behavior 38% Inaccurate meter 5% Condition of auto (lacking Traffic headlights and meter lights, torn 11% seats) Fare increases Minimum distance should be 1 km 26% not 1.6 km Drivers are rude Rent drivers pay is too high which Other affects overall fare Want lower fare

Government Challenges

Stakeholders: Common Concerns: Traffic Police of Mumbai 1. Highway safety Regional Transport Office 2. Space availability: (RTO) competition for space Mumbai Transportation amongst different modes Support Unit (MTSU) causing congestion and affecting accessibility 3. Perverse incentives: minimum fare is too low and it encourages riders to user rickshaws instead of 4. Driver behavior is lacking and better training is needed 5. Infrastructure

Entrepreneur Initiatives

Smartphone applications M-Indicator Smart Mumbaikar Advertising: MeterDown Fleet Auto-rickshaw service: Rickshawale Reforms and Future Work

Fleet Services

Permit and Infrastructure Fare Policy Improvements Reforms

Occupant Technology safety Thank you