The three upcoming dedicated freight corridors that the finance minister Nirmala Sitharaman mentioned in her Budget 2021 is expected to see investments of about Rs 2.17 lakh crore, a senior government official told Moneycontrol.
The three projects are East-Coast Corridor, East-West Sub Corridor and North-South Corridor. Sitharaman had said in her Budget speech that the Eastern and Western dedicated freight corridors are expected to be complete by June 2022, while she also proposed its asset monetization after completion of the projects.
How asset monetisation will work in DFC?
The asset monetization plan includes leasing out the tracks to private players to operate their trains and allowing telecom players to use DFCs 2,800-kilometer long optic fibre network. The Dedicated Freight Corridor Corporation (DFCCIL) has already signed a memorandum of understanding with Railtel for the usage of this optic fibre network. The idea was first mooted by a high-powered committee of secretaries in 2020.