LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
Read in App
Business News » India News

Rly's JV model takes off, 12 states to share equity for development of railway infra

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Updated: Thu, Sep 27, 2018
09:41 pm
PTI
RELATED NEWS
Infosys Chairman Nandan Nilekani on India's Digital Economy I Kotak Institutional Equities highlights details Infosys Chairman Nandan Nilekani on India's Digital Economy I Kotak Institutional Equities highlights details
Digital economy to outpace GDP growth, will result in 'competitive advantage period' for leaders in digital space highlights ICICI Securities Digital economy to outpace GDP growth, will result in 'competitive advantage period' for leaders in digital space highlights ICICI Securities
#GSTMakeItEasy: Facing GST related issues? Big initiative by Zee Business - Tweet your problems now! Check all details here #GSTMakeItEasy: Facing GST related issues? Big initiative by Zee Business - Tweet your problems now! Check all details here
India’s economy picking up steam, estimate recovery at 10% in FY22: S&P Global India’s economy picking up steam, estimate recovery at 10% in FY22: S&P Global
RBI Monetary Policy: Governor Das says repo rate unchanged, sees GDP at 10.5 pct for FY22, inflation at 5.4 pct for Q4FY21 RBI Monetary Policy: Governor Das says repo rate unchanged, sees GDP at 10.5 pct for FY22, inflation at 5.4 pct for Q4FY21

Railways has formed joint venture companies with 12 states with equity participation of 49:51 respectively for effective and speedy implementation of rail projects in the country, a senior official of the ministry said Thursday.

The first such project under this model was approved by the Cabinet on September 26 in Chhattisgarh where a new broad gauge electrified line of 294.53 route km from Katghora to Dongargarh will provide rail connectivity to unserved areas of the state.

"We have started this model with share of 51 per cent for the state and 49 per cent for us. We have formed such companies with 12 states. In this we make the JV and then we tell the states to choose the line. After we are convinced, we decide to go ahead.

"If the line is profitable, we take a loan through a special purpose vehicle. Railways will spend only Rs 350 crore out of the total Rs 5950.47 crore. The state will pay Rs 365 crore. There are coal companies which will get benefited that are also part of this.

So over all 25 per cent of the cost is through equity and 75 per cent is through loans. We will repay the loan in 20 years," said Mahesh Gupta, Member, Engineering, Railway Board.

While the line in Chhattisgarh is primarily for goods trains, two pairs of passenger trains are being envisaged for the state as well. The JVs for other states could be for both passenger or goods trains depending on the needs of the state government.

"In this model, the onus is on the state government to determine which line will be beneficial for them in terms of profit. If they propose a profitable line, we are happy to work with them.

"This is the model which would mean that the state governments and railways will together share the profits and bear the losses, if any," said Gupta.

While Maharashtra is likely to be the second state to get the nod for a proposed line, the other states with JVs are Assam, Maharashtra, Andhra Pradesh, Chhattisgarh, Haryana, Jharkhand, Karnataka, Kerala, Madhya Pradesh, Maharashtra and Odisha.

 

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
Economy
RELATED NEWS
Infosys Chairman Nandan Nilekani on India's Digital Economy I Kotak Institutional Equities highlights details Infosys Chairman Nandan Nilekani on India's Digital Economy I Kotak Institutional Equities highlights details
Digital economy to outpace GDP growth, will result in 'competitive advantage period' for leaders in digital space highlights ICICI Securities Digital economy to outpace GDP growth, will result in 'competitive advantage period' for leaders in digital space highlights ICICI Securities
#GSTMakeItEasy: Facing GST related issues? Big initiative by Zee Business - Tweet your problems now! Check all details here #GSTMakeItEasy: Facing GST related issues? Big initiative by Zee Business - Tweet your problems now! Check all details here
India’s economy picking up steam, estimate recovery at 10% in FY22: S&P Global India’s economy picking up steam, estimate recovery at 10% in FY22: S&P Global
RBI Monetary Policy: Governor Das says repo rate unchanged, sees GDP at 10.5 pct for FY22, inflation at 5.4 pct for Q4FY21 RBI Monetary Policy: Governor Das says repo rate unchanged, sees GDP at 10.5 pct for FY22, inflation at 5.4 pct for Q4FY21

LATEST NEWS

PUBG Mobile 1.3 beta update: APK download link for global version - Check all details here!

RailTel IPO Listing today: Great expectations from share price on debut

7th Pay Commission: Salary up to Rs 1.77 lakh plus DA, HRA; check details at nta.nic.in - Delhi University Recruitment 2021

BSE Sensex posts worst day in 10 mths, sinks 1,940 pts amid global meltdown

Salman Khan, Katrina Kaif, Emraan Hashmi attend puja before ''Tiger 3'' goes on floors

7th Pay Commission latest news: Big news for Central government employees - New window opened to save money

7th Pay Commission: DA, TA, DR, salary hike—what central government employees and pensioners must know

''Metro Man'' E Sreedharan formally joins BJP

Car sector seeks more UK government support as output tumbles

Bharat Bandh: Biz establishments remain shut in Odisha

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved