MoU for implementing Rs.8,574.79Cr project
The 362 km Indore-Manmad New Railway Line Project will cost Rs.8,574.79 crores and constructed within six years. It will result in cumulative net economic benefits of estimated Rs.15,000 crore in the first ten years of operations.
The project will reduce the distance from Mumbai/Pune to key central India locations by 171 kilometers as it passes through the Delhi-Mumbai Industrial Corridor nodes Igatpuri, Nashik and Sinnar; Pune and Khed; and Dhule and Nardana.
The Indian Port Rail Corporation Limited (IPRCL) has done a feasibility, traffic and bankability for the project.
The Railway Board has approved the implementation of the project through IPRCL on Joint Venture Special Purpose Vehicle model.
The SPV would be a Joint Venture Company between Ministry of Shipping or its nominated PSUs/Entity including JNPT (which will be the main promoter), Government of Maharashtra or its nominated PSUs/Entity, Government of Madhya Pradesh or its nominated PSUs/Entity, and others. The equity participation would be in the ratio as under:
Project Stakeholders – Equity Share:
The nominated PSUs/Entity including JNPT, which will be the main promoter – 55%.
Maharashtra Government or its nominated PSUs/Entity – 15%.
Madhya Pradesh Government or its nominated PSUs/Entity – 15%.
Others (IPRCL, SDC etc.) – 15%.
Ministry of Railway: The SPV will enter into concession agreement with the Ministry of Railways (All Statutory approvals) will pay Historical cost of land post concession to the SPV.
A Memorandum of Understanding (MoU) singed 28 Aug 2018 between JNPT- Ministry of Shipping, Ministry of Railways, State Governments of Maharashtra and Madhya Pradesh for its implementation. fiinews.com
