It has pointed out that as the Railways is less energy intensive and more environment friendly, there is a need for them to regain share in traffic through capacity augmentation aided by corrective pricing policies and organisational changes.

Even for the port sector, the survey has painted a dismal picture. As per the survey, the present level of port productivity is very low and although the productivity of terminals has improved, there is along way to go to reach a situation when berths should await for cargo.

Therefore, it is felt that a definite time frame and milestone standard have to be worked out for corporatisation of major ports.

There is deceleration of growth rate for cargo handled at major ports from 9.2 per cent in April-December 1999 to 3.9 per cent in April-December 2000 and for revenue earning goods traffic on railways from 8 per cent last year to 5.2 per cent this year

For tackling the financial problems being faced by the Railways, the survey has asked for rebalancing the tariffs to reduce cross subsidisation.

Railway Tariff Authority on the lines of telecommunication regulatory authority needs to be set up with the mandate to fix tariff on rational basis. There is a need to refocus the investment strategy with high priority to augmentation of capacity on high-density corridors and ensuring the safety and reliability of services.

Though there has been a considerable progress in the road sector due to the assured user charges, in terms of additional cess being levied on petrol and high speed diesel and creation of Central Road Fund, inadequacy of policy and regulatory framework for addressing complexities of private-public partnerships has refrained larger investors. So far, private investment in roads has come only for small projects.

The survey is of the view that highway developments projects needs to be clubbed along with related utilities, like gas and repair stations, telephone booths, motels, rest rooms, etc., to make the project more attractive. Formulation of investment packages, which offer roadside amenity development along with investment in roads and bridges to the investors, will attract bigger investment.

The survey also stressed on the need for refocussing the investment strategy in the Railways with high priority to safety and reliabilitation of services. On the huge manpower employed in the Railways, which took away substantial portion of gross expenditure, the survey welcomed the 10-year manpower planning programme to reduce the rising staff cost.

"A two-pronged strategy with a view to improving staff productivity and provide cost-effective service to customers is being adopted," it said.

Initiatives to supplement investment by forging partnership with the private sector and state governments had resulted in extra-budgetary resources to meet the requirement for growth and development, it said. With fast growth in cargo in private sector, it was now possible to offer better quality of service by guaranteed clearance of cargo through regular train services, the survey observed.

Parcel service of the Railways was being improved with leasing of space in brake vans of passenger trains to make optimum utilisation of available space and generate revenue.