Odisha urges Rail ministry to speed up key projects

State seeks Rs 300 cr allocation in upcoming Railway Budget, is unsatisfied with progress of Paradeep-Haridaspur project

With some of its crucial rail link projects on the slow lane, the Odisha government has impressed upon the Railways ministry to expedite the pace of commissioning of these projects.

Listing Khurda-Road Bolangir rail link as its top priority, the state government has sought an allocation of Rs 300 crore in the upcoming Railway Budget. Land acquisition has been completed for 93 km from Khurda Road end and 19 km from Bolangir end and handed over to Railways. Railway line from Khurda to Rajsunakhala (0-41.5 km) has been commissioned. Also, Odisha government has committed to allocate land (including private land) in the Daspalla-Bolangir stretch (112-289 km) free of cost and share 50 per cent of construction cost for this segment. A memorandum of understanding (MoU) for this purpose has been signed between Odisha government and Railway ministry on July 20, 2015.

For the Paradeep-Haridaspur project, the pace of construction is not satisfactory. Rail Vikas Nigam Ltd (RVNL), a Railway ministry undertaking, executing the project should make efforts to complete this project within target date of December 2016. In view of the commissioning of a large number of steel plants in Kalinga Nagar complex as well as future expansion plan of Paradeep port, it is essential that this rail link is commissioned without further delay. In order to tide over the financial constraints for this project, the Odisha government has committed to take up to 26 per cent equity in this special purpose vehicle (SPV) project and extend all help in early commissioning of the project. The state government and state run Odisha Mining Corporation (OMC) has combinedly contributed Rs 174.7 crore towards equity contribution to Haridaspur-Paradeep Rail Company in 2015-16.

For Angul-Duburi-Sukinda Road, an SPV has been set up under the aegis of RVNL for this project named 'Angul Sukinda Railway Company'. All the required land has already been handed over to East Coast Railway (ECoR). Like Haridaspur-Paradeep project, in order to tide over the financial constraints for this project, the Odisha government has also committed to take up to 26 per cent equity in this SPV project and extend all help in early commissioning of the project. Both the state government and OMC have together contributed Rs 190.8 crore as equity contribution in this project. But the pace of construction remains unsatisfactory and the state government has stressed on completion of the project by June 2018.

The other two rail projects where the state government has flagged its concerns are Talcher-Bimalagarh (154 km) and Jaleswar-Digha (41 km).