Railways' modernisation will bring a paradigm shift, says Amitabh Kant
New Delhi: "Indian Railways' modernisation will bring a paradigm shift," National Institution for Transforming India (NITI Aayog) CEO Amitabh Kant said on Thursday while addressing media persons jointly with the Railway Board chairman V K Yadav.
Kant also mentioned that the privatisation of the railways will create a win-win situation for both the Indian railways as well as the investors. "Government's objective is to modernise and improve passengers' experience on railways. Quality train services, new technology and value-added service will enhance user experience. As a consequence, this will radically change India over time," he added.
The policy think tank of the government also feels that the railways need a competitive market like the aviation sector, which will help to maintain the quality of services. "It brings first of its kind initiative in a country where private entities will source and operate modern technology trains for undertaking passenger business, using Indian Railways' infrastructure. This creates a win-win situation for Indian Railways as well as investors," Kant added while speaking on Public-Private Partnership in passenger train operations.
The NITI Ayog CEO also sees the modernisation of railways as one of the growth stories of the country like Korea and Japan. "This is an excellent opportunity to tap into the potential of massive unmet demand in the passenger business, through premium passenger services," he answered while being asked.
Recently, the Centre confirmed the redevelopment projects for busiest New Delhi railway station and Chhatrapati Shivaji Terminus in Mumbai of Rs. 6,567 crore. The Railway Land Development Authority (RLDA) has invited bids from private developers for the redevelopment of two major railway stations, aiming to transform these two stations into world-class.
New real-estate projects, road construction projects will be seen in both the railway stations. Multi-level car parking, hotels, retail areas, office spaces, serviced apartments etc are also in the wish list of the ministry with stretching the build-up areas. Further, connecting the stations with straight-six or four-lane roads, connecting the stations with multiple widening roads will also be done.
"The RFQ has already been floated and application due date is October, 7 this year. We are very confident that this will bring investments from across the world... Like the new airports, you will see completely new stations and that will help in the country's growth. Both the Secretaries of Urban Development and Economic Affairs are working on the project," the NITI Ayog CEO mentioned. The ministry claimed that it is a brown-field investment with people's footfall and hence, global investors will invest.
The ministry is aiming to complete the redevelopment work of 50 stations by the end of next year which will need an investment of Rs 1,00,000 crore. The timeline of the entire project is expected March 2024.
