Uncertainty haunts the redevelopment of the Kozhikode railway station and the latest is the Railway Ministry’s decision to do away with the Swiss Challenge Method.
The decision to dump the two-stage Swiss Challenge Method was taken by Union Minister Piyush Goyal recently so as to rope in more private players for the redevelopment of 400 stations in the country. A reason cited for the change is that private players would get more leeway to sub-lease the areas at the station for increasing revenue and obtaining loans from banks without any hassles.
However A.K. Sinha, Chief Planning and Development Engineer, Southern Railway, told The Hindu on Friday that the Railway Board, the apex body of the Indian Railways, had to take a final decision on individual stations. Although the bidding parameters would be changed for simplification, some stations may be allowed to continue with the Swiss Challenge Method.
“We are awaiting detailed instructions from the Railway Board in the case of Kozhikode. In all likelihood, the Swiss Challenge Method will be retained for the station,” he said.
Only such station
Kozhikode station is the only railway station in the State selected to be developed under the Swiss Challenge Method. Already the Vadakara-based Uralungal Labour Contract Cooperative Society (ULCCS) has bid for the project in the first stage.
The Kozhikode station is among the 23 stations in the country that will be developed with world-class facilities at a cost of ₹75 crore.
The four sites, measuring 4.40 acres, which have been identified for the project will be leased to the successful bidder for 45 years. Since the ULCCS had secured the contract in the first stage, the company will be preparing the detailed project report (DPR) for the second stage.
“Subsequently the bid will be open in the second stage like it was in the first stage, allowing other companies to take part in the procedures. The first bidder will not get any preferential treatment. However the original proposer will get the right of first refusal under specific terms and conditions,” said Mr. Sinha.
The Swiss Challenge Method to redevelop the Kozhikode station has not gone down well with a section of railway employees with the Dakshin Railway Employees Union (DREU) fiercely campaigning against the scheme.
“This was introduced just to sell off the land of the railways to private parties,” said DREU Southern Railway general secretary Mathew Syriac.
