Railway Pft Agreement

Indian Railways is working on a plan to allow private freight terminals (TPPs) to operate on rail areas adjacent to stations to better exploit open land, increase investment in public-private partnerships (PPPs) and increase freight revenues. The commercial viability of private terminals is closer to coal-intensive cement plants, ports and power plants. Currently, private freight terminals are built by private investors on private land and rail links with operators are leased. The carrier believes that PFTs on railway lands would help reduce interventions in its country, apart from increasing revenues through royalties. Under this program, warehouses will be built by investors on renovated land close to the land and the railway will receive rental housing. The carrier will also charge fees for rail lines leading to warehouses, as commercial land use is required. Indian Railways is working on a plan to allow private freight terminals (TPPs) to operate on rail areas adjacent to stations to better exploit open land, increase investment in public-private partnerships (PPPs) and increase freight revenues. „There is land that is available around the resorts, especially in mineral-rich areas that are very heavy. They are also sparsely populated areas.

We are trying to allow private freight parking lanes on the land adjacent to the stations,“ said a railway spokesman. The commercial viability of private terminals is closer to coal-intensive cement plants, ports and power plants. Currently, private freight terminals are built by private investors on private land and rail links with operators are leased. „These terminals are usually located 2-3 km from the stations, so it takes huge capital to build warehouses, shipyards and railway lines, which many small players cannot do,“ the official added. The carrier believes that PFTs on railway lands would help reduce interventions in its country, with the exception of increased royalty revenues. According to the official, Railway Minister Piyush Goyal has already agreed to the system whereby warehouses are built by investors on land adjacent to railway stations and railways receive rents. The carrier will also charge fees for the tracks that lead to the warehouses. On average, a freight train reaches the railways by 50 lakhs. The sources stated that, since commercial land use will require the firm`s approval, Goyal has requested a review of a policy to involve the Rail Land Development Authority (RLDA) in the process. „RLDA will verify the availability of land and grant permission,“ the official said, adding that candidates will be candidates at the zonal level, which will establish a feasibility report with traffic forecasts before final approval. As indicated by the FE, the government is also working to make station renovations more attractive to investors by introducing one-stage tenders, 99-year leases and the inclusion of residential real estate assets in projects. The railways have about 11.4 hectares of lakh, of which 1.17 hectares lakh are considered surplus.