Privatization of Railways : Unstarred question raised in Rajya Sabha

राज्य सभा में रेलवे मंत्री से पूछा गया कि क्या सरकार ने आगामी वर्षो में रेलवे का निजीकरण का निर्णय लिया है और क्या निजी कंपनियां किसी स्रोत से रेल गाड़ियाँ और लोकोमोटिव खरीद सकती हैं? इस प्रकार के सवाल का जवाब देते हुए रेल मंत्री ने कहा कि ऐसा कोई प्रस्ताव नहीं है कि रेलवे को निजीकरण किया जाय। बल्कि वर्ष 2030 तक नेटवर्क विस्तार और क्षमता संवर्धन, चल स्टॉक शामिल करने और अन्य आधुनिकीकरण कार्यों के लिए 50 लाख करोड़ रूपये के निवेश की योजना है। ताकि बेहतर ढंग से यात्री और माल सेवाएं दी जा सकें और परिवहन में रेल यात्रियों की संख्या में सुधार लाया जा सकें।

Here is the full text of English:-

GOVERNMENT OF INDIA

MINISTRY OF RAILWAYS

RAJYA SABHA

UNSTARRED QUESTION NO. 771

ANSWERED ON 18.09.2020

PRIVATISATION OF RAILWAYS

771. SHRI M. SHANMUGAM:

SHRI K. R. SURESH REDDY:

Will the Minister of RAILWAYS be pleased to state:

(a) whether Government decided to privatise Railways in the coming years;

(b) if so, how many trains in how many pair of routes will be given to private players, the details thereof;

(c) whether private companies can procure train and locomotives from any source and if so, the fate of the existing production units like coach factories, etc.;

(d) whether the decision to privatize Railways was discussed with the stakeholders including trade unions;

(e) if not, the reasons therefor; and

(f) whether Railways would have control over fixing of fare, if not who would regulate, the details thereof?

ANSWER

MINISTER OF RAILWAYS AND COMMERCE & INDUSTRY

(SHRI PIYUSH GOYAL)

(a) to (f) No, Sir. There is no proposal to privatise the Indian Railways (IR). However, it is estimated that Indian Railways would need capital investment of ₹ 50 lakh crores up to the year 2030 for network expansion and capacity augmentation, rolling stock induction and other modernization works to enable better delivery of passenger and freight services and to improve its modal share in transport. To bridge the gap in Capital Funding and bring in modern technology and efficiencies, it is planned to use Public Private Partnership (PPP) model in few initiatives including induction of modern rakes to run passenger trains on select routes with an objective to provide improved service delivery to passengers. However, the work of train operations and safety certification will continue to be with Indian Railways in all such cases.

Accordingly, it has been decided to operate additional passenger trains over approximately 100 origin-destination pairs (divided into 12 clusters), through PPP, on Design, Build, Finance and Operate (the “DBFO”) basis. The private investors are required to invest in modern rolling stock, maintenance depot, etc. The operation of the existing services of Indian Railways is not going to be affected. This aspect has been informed to Railway Federations.

The Concessionaire/investor shall be free to procure trains and locomotives including through ownership or leasing from a source of its choice, including Indian manufacturers, provided such trains and locomotives are compatible with specification and standard specified in Concession Agreement.

The scheme entitles the Concessionaire/ investor to levy and collect fare from the users, as determined by market, in consideration of the investment and services provided, and also allows them to raise other revenues in terms of the Concession Agreement.

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Privatization of Railways : Unstarred question raised in Rajya Sabha