Eastern Corridor to cost Rs.11, 589 cr.; Western Corridor Rs.16, 592 crore
NEW DELHI: In a major boost to the expansion and infrastructure development plans of the Railways, the Government on Thursday gave the green signal to dedicated Western and Eastern Railway Freight Corridors to be built at a cost of about Rs. 28,181 crore.
"The Cabinet Committee on Economic Affairs gave its approval to a proposal by the Railways to build dedicated Western and Eastern Freight Corridors," Finance Minister P. Chidambaram told reporters.
The Eastern Corridor would cost Rs.11, 589 crore and the Western Corridor Rs.16, 592 crore, he said. The funding would be done by the Railways from internal accruals besides market borrowings and borrowings from multi-lateral funding agencies. The CCEA also approved a proposal by the Railways to set up a Greenfield electric locomotive factory at Madhepura in Bihar at a cost of Rs. 1,294 crore. The new facility to manufacture 120 horsepower locomotives would be completed in three years, he said.
The Railways decided to undertake freight corridor construction along the Delhi-Kolkata and Delhi-Mumbai arms of the Golden Quadrilateral, as they are the most intensively used with maximum traffic density.