NEW DELHI: The Indian Railways is facilitating the completion of more projects through the Public Private Partnership (PPP) model after finding it successful in providing last mile rail connectivity to ports and industrial clusters.
Since the determination of train operating tariff remain under the command of railway, no additional economical burden on railway passengers are incurred even if the majority of projects are executed on the PPP mode.
Railway minister Ashwini Vaishnaw had recently sharing details on the results of PPP mode in the Lok Sabha. As many as 14 rail projects worth Rs 9,243 crore were completed till date through the PPP mode, he added.
“As many as 10 more projects of Rs 19,417 crore are already under implementation, including coal connectivity and port connectivity projects, through the PPP mode,” he had said.
The Indian Railway had formulated a Participative Policy-2012 aimed at encouraging the investment in developing rail connectivity by associating strategic partners and other investors through the PPP mode.
After completion of 14 projects, the national transporter has granted in-principle approval to seven more rail projects worth Rs 13,971 crore, which are now under developmental stage. A senior official said there were high chances of the PPP model finding more takers because of the growing number of projects being completed on time.