Gujarat will have total broad gauge in five years, says minister

Gujarati will have total broad gauge line in five years, says minister
Ahmedabad, 26 October, 2009


Gujarat will have total broad gauge in five years, says minister


Gujarat will have 100% railway network on broad gauge lines within next five years, Minister of state for Railways Mr. KH Muniyappa said today in Ahmedabad.

Muniyappa said, over 2,000 km metre gauge and narrow gauge railway lines in Gujarat will be converted into broad gauge lines over the next five years. At present, conversion of 600 km lines is in process.

“The centre has allocated Rs 443.62 crores in the railway budget for the current financial year for new lines, gauge conversion and doubling of lines and electrification in Gujarat, the state that has high growth in economy and industry” the minister said.

The minister said that the railway ministry wants the states to share costs of new projects related to gauge conversion or special lines to expedite special projects.

“We have launched some projects in Karnataka, Andhra Pradesh and Jharkhand where the respective state governments have agreed to share 50 per cent costs of some special projects,” minister said.

The rationale behind cost sharing formula is to speed up the work of projects so that they can be commissioned, he said.

“If a particular state wants a special railway project for public purpose, the ministry will consider it and it can be executed on the basis of cost sharing model so that the project is executed and commissioned on time to serve the public purpose,” the minister said, explaining the new model the ministry has adopted.

If the cost is shared by the state concerned and the ministry, the project can be completed on priority basis, he said.

Asked whether states will be entitled to profit sharing in case of cost sharing, the minister said that the ministry was open to it.

“Profit is not the objective in such projects. The main objective is to serve public purpose with the partnership of the state,” Muniyappa said, adding such projects will be launched by specially created special purpose vehicles (SPV) between the ministry and the state.

He also asked Gujarat government to come forward and make proposals for special projects which can be developed on the cost sharing model.

Meanwhile, Gujarat government and Kalndla and Mundra ports have approached the ministry to double the Palanpur-Dhandhidham broad gauge line, which was set up on public private partnership model with the ministry, state government, Kandla port and Mundra port, he said.

“This 300 km broad gauge line was laid on PPP model. Now, the state government and other stake holders want to double the line so that freight transportation can be expedited on the special route,” he said.

The ministry has given in principal nod to the project and project survey will be undertaken shortly, Muniyappa said.

Palanpur-Gandhidham railway line was laid in order to connect two largest ports Kandla and Mundra with the northern states for smooth and speedy cargo movements.