Govt to partner with Railways to put projects on fast track

Tribune News Service

Chandigarh, January 29

To strengthen the rail network in Haryana, the state government has decided to partner with the Railways by forming a Special Purpose Vehicle (SPV) for raising funds. An MoU will be signed between both stakeholders soon.

The rail projects to be taken up for speedy implementation included Karnal-Yamunanagar line, Fatehabad-Mansa-Bathinda line, Jakhal-Ratia-Fatehabad line, Bhiwani-Loharu-Pilani-Churu line, Rewari-Palwal line, Yamunanagar-Chandigarh line, Delhi-Sohna-Nuh-Ferozpur Jhirka-Alwar line and Hisar-Sirsa via Agroha-Fatehabad line, a press release said today.

Both parties will establish and get registered a company with limited liability. The name of the proposed joint venture will be “Rail Infrastructure Development Company (Haryana) Limited” to be called “H-RIDE” or a similar name available with the Registrar of Companies and as agreed upon by both stakeholders.

The H-RIDE’s objectives will be to expedite project development and implementation by mobilising resources, securing traffic guarantees and involving strategic partners in funding.

It will mobilise revenues from the government by other non-rail operation sources and coordinate with organisations or local bodies in charge of urban development and for the resolution of several ancillary matters connected with the projects.

As per the MoU, the Railway Ministry will complete the projects in time mutually fixed by both parties. Also, it will supplement the resources raised by the H-RIDE to a maximum extent of 25 per cent of the balance project cost, subject to allocation made in Railway Budget.

The state government will make available land free of cost, free from all encumbrances and with all requisite clearance to the ministry for the execution of identified projects. The government will create a non-lapsable fund for this purpose.

Taking SPV route

The state and Railways will form a Special Purpose Vehicle (SPV) to raise funds. Both parties will establish and get registered a company with limited liability. The name of the proposed venture will be ‘Rail Infrastructure Development Company (Haryana) Limited, to be called ‘H-RIDE’ or a similar name available with the Registrar of Companies. Its objectives will be to expedite project development and implementation by mobilising resources

Projects on anvil

• Karnal-Yamunanagar line
• Fatehabad-Mansa-Bathinda line
• Jakhal-Ratia-Fatehabad line
• Bhiwani-Loharu-Pilani-Churu line
• Rewari-Palwal line
• Yamunanagar-Chandigarh line
• Delhi-Sohna-Nuh-Ferozpur Jhirka-Alwar line
• Hisar-Sirsa via Agroha-Fatehabad line