Idco seeks nod to acquire pvt land for Rs 8000 cr infra corridor

The Odisha Industrial Infrastructure Development Corporation (Idco) has sought administrative approval for acquisition of 476.51 acres of private land and leasing of 302.05 acres government land for first phase work of the Rs 8000-crore common infrastructure corridor.

The common corridor planned in the coal rich Talcher Coalfields is meant for smooth evacuation of coal.

Rites Ltd, the technical consultant of Idco, has furnished the corridor alignment for 11 revenue villages for extension of the main corridor upto Mandakini loading point. This includes 302.05 acres government land and 476.51 acres private land.

A total of 6200 acres is to be acquired for the project, the total cost of which has been worked out to be Rs 1240 crore. The common corridor will traverse 143 km stretch, supporting 10 blocks operating in the Talcher coalfields under the command area of Mahanadi Coalfields Ltd (MCL). It is expected to handle coal traffic in excess of 100 million tonne every year.

The proposed corridor will be connected to rail heads at three locations- Jharpada, Angul and Budhapanka. The common corridor will have multiple entry and exit points and no surface crossing. Besides, flyovers have also been proposed to avoid cross movements at junction stations.

The project is being implemented by the state’s land acquisition agency Idco.

Land acquisition proposal for the Jharpada-Tentuloi portion of the corridor has been prepared and acquisition cost of this portion has been assessed at Rs 150 crore.

A special purpose vehicle (SPV) called Brahmani Railways, a wholly owned subsidiary of Idco, has been formed with a share capital of Rs 10 crore, to implement the project.

SBI Caps, a wholly owned subsidiary of State Bank of India (SBI), has been engaged as a consultant for financial structuring of the project. It has already begun discussions with Ministry of Railways for preparation of the draft concession agreement.

It may be noted a number of power and steel companies, which have been allotted coal blocks in the area, are facing resistance with regard to land acquisition for construction of private railway sidings. The construction of a common corridor is expected to overcome the problem.

As many as 55 industries including steel plants and power projects are expected to be beneficiaries of the common infrastructure corridor.