Aiming to increase revenue, Railways has firmed up plans to generate Rs 8000 crores through commercial development of rail land across the country.
There are many areas near railway stations, workshops, colonies which are lying unused and as per plan, these sites would be commercially developed, said a senior Railway Ministry official.
Railways has formed Rail Land Development Authority (RLDA) to commercially exploit these sites.
Currently, 49 sites measuring 497.21 hectares have been entrusted to Rail Land Development Authority (RLDA) for commercial development, the official said.
He said the extent of revenue likley to be earned from these sites will be Rs 7000 cr to Rs 8000 cr.
Besides these 49 sites, some more sites have also been identified for commercial use subject to their amenability for commercial development.
RLDA selects the developers through transparent and competitive bidding has been selected. At present developer for only one site, Vishakhapatnam has been selected. This site will earn revenue of Rs 12.10 cr for a lease period of 30 years.
Railways has no policy regarding provision for hospitals and hotel facilities near all busy and major railway junctions. However, at some locations where it is feasible and due to the demand, multi-functional complexes are being constructed which also have the provision of hotel.
Besides, Railways will redevelop stations by leveraging the commercial development on rail land and air space for which 28 major stations have been identified.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
