New Delhi: With the aim of bringing transparency, all contracts in railways would be on e-tendering by the end of the year.
"The work is underway to revamp PPP cell within the Ministry of Railways with an objective to streamline processes to enhance transparency. All contracts would be based on e-tendering by end of the year," Railway Minister Suresh Prabhu said at the PPP summit organised by Confederation of Indian Industry (CII) here today.
According to Railway Ministry, e-procurement process has already been started in the public transporter and all contracts would be materialised through e-tendering system soon.
Strongly pitching for private investment, he said, "There is no other alternative than to get private sector participation in the country. Balance needs to be achieved between profit and public interest objective."
Referring to the Madhepura and Marhora rail projects, Prabhu said "The largest FDI project worth Rs 40,000 crore is in the railway sector to set up diesel and electric locomotive factories. These state-of-the-art manufacturing facilities will create an eco-system with spin-off benefits, which will not only create jobs in the manufacturing facilities but will also help in developing ancillary units."
Elaborating the scope of private investment in railways he said, "There is a proposal to redevelop about 400 railways stations on PPP mode. It is in advance stage and are structured in most viable manner that would benefit all stakeholders."
According to railways plan, 400 stations will be redeveloped with private participation enhancing quality of passenger amenities at rail premises.
Referring to Dedicated Freight Corridor project, he said work on DFC project worth Rs 80,000 crore is being implemented at a satisfactory pace. Prabhu also mentioned about the joint venture plan envisaged with various state governments to execute rail projects in the respective states.
Railways has signed projects worth Rs 3 lakh crore in JV with states, he said. In the area of regulatory framework for rail sector, the Ministry would soon invite comments from stakeholders, he added.
