Railway Ministry issues ‘Policy on Development of Goods-sheds’ through Private Investment

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Aiming at augmenting terminal capacity through private participation by allowing setting up of new goods-shed facilities and developing existing goods-sheds (which Railways are unable to do due to lack of resources) at a larger number of stations, Ministry of Railways have issued a Policy on Development of Goods-sheds at small/road-side stations through Private Investment.

Salient features of the Policy are as under:

  • Private parties permitted to develop goods wharf, loading/unloading facilities, facilities for labour (resting space with shade, drinking water, bathing facilities, etc) approach road, covered shed and other related infrastructure. The facilities are to be created/developed by the private party through its own investment.
  • All developments for the proposed facility will be as per approved Railway designs, and constructed to approved Railway standards and specifications.
  • Railways shall not levy any departmental or any other charges for the construction.
  • The facilities created by the private party shall be used as common user facility, and no preference or priority will be granted to the traffic of the party over the traffic of other customers.
  • Responsibility for maintenance of assets and facilities created shall be vested with the party during the agreement period.
  • Incentives under the scheme: Share in the Terminal Charges (TC) and Terminal Access Charges (TAC), as the case may be, for all the inward and outward traffic dealt at the goods-shed for five (05) years, from the date of completion of the work.
  • The party seeking the least share (TC/TAC) shall be selected through competitive bidding, to be done At Divisional Level.
  • Additional revenue for party through – utilization of available space for establishing small canteen/tea-shop, advertisements, etc.

Freight Loading performance:

Freight figures continue to impress and move on much higher trajectory compared to last year in terms of earnings and loading in the first week of October for Railway.

On mission mode, Indian Railways Freight loading for the month of October 2020 till 08th October 2020 crossed last year’s loading and earnings for the same period.

  • In the month of October 2020, till 08th October, Indian Railways loading was 26.14 million tonnes which is 18% higher compare to last year’s loading for the same period (22.1 million tonnes). 
  • In this period Indian Railways earned Rs. 2477.07 Crores from freight loading which is also Rs. 250.71 Cr. higher compare to last year’s earnings for the same period (Rs. 2226.36 crores).
  • In the month of October till 08th October 2020 Indian Railways loading was 26.14 million tonnes which includes 11.47 million tonnes of coal, 3.44 million tonnes of iron ore, 1.28 million tonnes of foodgrains, 1.5 million tonnes of fertilizers and 1.56 million tonnes of cement (excluding clinker).
  • It is worth mentioning that a number of concessions/ discounts are also being given in Indian Railways to make Railways Freight movement very attractive.
  • It may be noted that improvements in freight movements will be institutionalized and incorporated in the upcoming zero based time table.
  • Covid-19 has been used by Indian Railways an opportunity to improve all round efficiencies and performances.

Source: PIB-Press Release | Image Credit (representational): MoR

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