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Railway tenders for commercial complexes soon
Indian Railways will soon float tenders for development of 60 multi-functional complexes and commercial utilisation of six sites to mop up funds.
The Rail Land Development Authority (RLDA) has been given the responsibility of developing Multi Functional Complexes (MFCs) that will provide multiple facilities like shopping, food stalls/ restaurants, book stalls, PCO Booths, ATMs, medicines and variety stores, budget hotels, parking spaces and other similar amenities to rail users at railway stations.
Indian Railways has approximately 43,000 hectares of vacant land. Out of this, 1,500 hectares was suggested to the RLDA for commercial exploitation. However, the RLDA recently reported to the Railway that between 600 and 700 hectare of this land was not fit for commercial use because of reasons like encroachment and shape of the land.
“Roughly 2,337 acres of land, which constitutes 0.22 per cent of the total land holding of Railways, is under encroachment,” Railways official admit.
Total 1,500 hectare suggested to RLDA for commercial utilisation account of 130 sites and RLDA reported that only 58 sites were fit for commercial exploitation. Tenders for six out of these 58 sites would be floated soon.
The primary objective for constitution of RLDA was for development of vacant Railway land and air space for commercial use to generate revenue through non-tariff measures.
RLDA started functioning in 2007. So far, developers have been fixed for five sites and a lease premium of `385 crores have been realised.
Since 2009-10, RLDA has been assigned the responsibility for development of Multi-functional Complexes (MFCs) to provide passenger amenities through Railway PSUs and private developers. Construction of MFCs has been completed at 13 sites.
An expert group on modernisation under Sam Pitroda had said in its report has suggested measures for exploitation of Railway’s land bank and air space above platform and tracks. “This would generate additional resources, lead to efficient utilization of land and airspace as well as ensure speedy development, growth and improved customer service. Monetization of surplus land and airspace could mobilise `50,000 crores for IR,” it said.
Indian Railways will soon float tenders for development of 60 multi-functional complexes and commercial utilisation of six sites to mop up funds.
The Rail Land Development Authority (RLDA) has been given the responsibility of developing Multi Functional Complexes (MFCs) that will provide multiple facilities like shopping, food stalls/ restaurants, book stalls, PCO Booths, ATMs, medicines and variety stores, budget hotels, parking spaces and other similar amenities to rail users at railway stations.
Indian Railways has approximately 43,000 hectares of vacant land. Out of this, 1,500 hectares was suggested to the RLDA for commercial exploitation. However, the RLDA recently reported to the Railway that between 600 and 700 hectare of this land was not fit for commercial use because of reasons like encroachment and shape of the land.
“Roughly 2,337 acres of land, which constitutes 0.22 per cent of the total land holding of Railways, is under encroachment,” Railways official admit.
Total 1,500 hectare suggested to RLDA for commercial utilisation account of 130 sites and RLDA reported that only 58 sites were fit for commercial exploitation. Tenders for six out of these 58 sites would be floated soon.
The primary objective for constitution of RLDA was for development of vacant Railway land and air space for commercial use to generate revenue through non-tariff measures.
RLDA started functioning in 2007. So far, developers have been fixed for five sites and a lease premium of `385 crores have been realised.
Since 2009-10, RLDA has been assigned the responsibility for development of Multi-functional Complexes (MFCs) to provide passenger amenities through Railway PSUs and private developers. Construction of MFCs has been completed at 13 sites.
An expert group on modernisation under Sam Pitroda had said in its report has suggested measures for exploitation of Railway’s land bank and air space above platform and tracks. “This would generate additional resources, lead to efficient utilization of land and airspace as well as ensure speedy development, growth and improved customer service. Monetization of surplus land and airspace could mobilise `50,000 crores for IR,” it said.
