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India's CCEA approves $768.85 mn railway projects for economic growth

28 Aug '24
2 min read
India's CCEA approves $768.85 mn railway projects for economic growth
Pic: Adobe Stock

Insights

  • The CCEA, chaired by PM Narendra Modi, approved three railway projects worth ₹64.56 billion (approximately $768.85 million) to enhance India's logistical efficiency and expand the railway network by 300 km across Odisha, Jharkhand, West Bengal, and Chhattisgarh.
  • The projects will improve freight capacity and support India's climate goals.

The Cabinet Committee on Economic Affairs (CCEA), chaired by India’s Prime Minister Narendra Modi, has approved three significant projects under the Ministry of Railways, with a total estimated cost of ₹64.56 billion (approximately $768.85 million). These projects are set to enhance logistical efficiency, expand the existing railway network, and contribute to India's economic growth.

The approved projects are designed to improve connectivity in previously unconnected areas, increase line capacity, and strengthen transportation networks. These enhancements are expected to streamline supply chains and accelerate economic development across the regions they serve, the Ministry of Railways said in a press release.

A key component of these projects is the development of new railway lines, which will provide direct connectivity and improve mobility within the Indian Railways network. The multi-tracking initiatives will ease operations, reduce congestion, and support infrastructural development in some of the busiest sections of the railway system. These efforts align with Prime Minister Modi's vision of a ‘New India,’ aimed at making the regions ‘Atmanirbhar’ (self-reliant) by fostering comprehensive development and increasing employment and self-employment opportunities.

The projects are part of the PM-Gati Shakti National Master Plan for multi-modal connectivity, which emphasises integrated planning to provide seamless connectivity for the movement of goods. Covering seven districts across four states—Odisha, Jharkhand, West Bengal, and Chhattisgarh—the projects will expand the Indian Railways network by approximately 300 kilometres.

As part of the expansion, 14 new stations will be constructed, enhancing connectivity to two aspirational districts: Nuapada in Odisha and East Singhbhum in Jharkhand. The new railway lines will connect approximately 1,300 villages, benefiting around 11 lakh people. Additionally, the multi-tracking projects will improve connectivity for about 1,300 villages, impacting nearly 19 lakh people.

These routes are essential for the transportation of commodities, and the capacity augmentation is expected to result in an additional 45 million tonnes of freight traffic per annum. Given that railways are an environmentally friendly and energy-efficient mode of transportation, these projects will also contribute to India's climate goals. The anticipated benefits include a reduction in oil imports by 10 crore litres and a decrease in CO2 emissions by 240 crore kilograms, equivalent to the planting of 9.7 crore trees.

Fibre2Fashion News Desk (DP)

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