Construction of new broad gauge line between Gevra Road-Pendra Road of South East Central Railway

Press Information Bureau

Government of India

Cabinet Committee on Economic Affairs (CCEA)

07-February-2013 15:17 IST

The Cabinet Committee on Economic Affairs today approved the construction of a new broad gauge line between Gevra Road and Pendra Road of 121.70 km at a cost of Rs.838.02 crore to be funded through a Joint Venture consisting of IRCON International Ltd. (a Railway PSU) and other stakeholders - M/s. South Eastern Coalfields Ltd. and Government of Chhattisgarh. IRCON will spearhead the process of formation of Special Purpose Vehicle (SPV) with 26 percent equity and Government of Chhattisgarh will transfer government land free of cost. Government of Chhattisgarh will thus participate to the level of 10 percent in equity, either through capitalization of land or through cash contribution, and SECL will take the balance equity.

The project is likely to be completed in the next five years during the 13th Plan period.

The rail link between Gevra Road and Pendra Road is necessitated in view of the tremendous increase in anticipated traffic and development activities in this area. At present, the movement of coal traffic is being done through Gevra Road and Champa Branch line. Considering the additional traffic generated for coal from Sendurgarh, Hasdeo Arrand, Dipka, Gevra and Korba coal fields of M/s. SECL, this additional rail link is required for smooth movement of coal. This rail link will also facilitate serving the coal needs of Western Uttar Pradesh, Delhi, Haryana and Punjab.

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SC/SM