Railways seeks Rs1,00,000-cr private investment in PPP projects

04 Oct 2013

The Indian Railways proposes to meet bulk of the funds needed for investments in projects and infrastructure in the current Five-Year Plan, including the Mumbai Elevated Rail Corridor and the Dedicated Freight Corridor through private public partnership.

Railways has sought private investments, including FDI, in rail infrastructure projects and has set an ambitious target of Rs1,00,000 crore for public private partnership projects in the 12th Five-Year Plan, according to railway minister Mallikarjun Kharge.

"FDI is welcome in infrastructure projects like elevated rail corridor in Mumbai, high speed trains and Dedicated Freight Corridor," Kharge said at the international rail conference in New Delhi today.

"Railways has set an ambitious target of Rs100,000 crore for PPP in the 12th Five-Year Plan. Freight terminals, parts of DFC, redevelopment of stations and elevated rail corridor in Mumbai are proposed for private investment during this period," he said.

The 60-km-long elevated rail corridor project between Churchgate and Virar has been short-listed by the steering group set up by Prime Minister Manmohan Singh to accelerate growth in infrastructure.

PMO, in its recent review meeting of flagship infrastructure projects, has asked Railways to expedite the Rs21,500 crore project.

Referring to the Morhora and Madhepura locomotive factories in Bihar, Kharge said, "FDI is already open for factories in rolling stock such as locomotives and coaches."

Six multinational companies have evinced interest in the proposed electric locomotive factory at Madhepura, while four such companies have submitted request for quotation in the diesel locomotive factory at Marhora, he said.

"Railways looks forward to partnership with new ideas from industry in terms of technology, management systems and investment models that can be adopted or adapted by it for growth, expansion and economic empowerment for all rail users," Kharge said.

Exhibitors from 24 countries are expected to participate in the 3-day event to showcase their latest rail related products and technologies. The focus of the conference-cum-exhibition is on modern coach manufacturing technologies, traction and propulsion technologies, safety and train controls, modern signalling and communications, track maintenance and transportation logistics.