Bhubaneswar: The Odisha government has asked all concerned to expedite the construction of a common outer rail corridor for Talcher coalfields, an official said Monday. Development Commissioner (DC) PK Jena recently held a review meeting on the project in the backdrop of many states facing delay in coal supply. Jena asked officials to expedite the project in order to transport coal from the mines located in the area.
Jena has asked the officials to split the outer corridor project into phases to provide railway access on priority basis to the mines where production is expected to start early, official sources said.
In 2009, the Odisha government envisaged an efficient logistic infrastructure for evacuation of coal from various mines in Talcher coalfields and directed the Odisha Industrial Infrastructure Development Corporation (Idco) to prepare a comprehensive planning in this regard.
Accordingly, Idco engaged several reputed agencies to prepare feasibility report, master plan and detailed project report (DPR). A Special Purpose Vehicle (SPV)— Brahmani Railways Ltd (BRL)— was incorporated in 2013 by the Idco and Commerce and Transport department to take up the common corridor project, which included railway line, road and pipeline.
The DPR was finalised in July 2015. At that time, the project cost of railway infrastructure was Rs 4,938 crore excluding the cost of land, officials said.
The Ministry of Coal and the Odisha government had signed a pact with Railways Ministry in 2015 to create rail infrastructure for evacuation of coal through a JV company named Mahanadi Coal Railway Limited (MCRL) with equity participation by MCL (64 per cent), IRCON (26 per cent) and Idco (10 per cent). Then, it was decided to hand over the project to MCRL.
The MCRL split the project into two parts — inner corridor comprising the Jarapada – Tentuloi and Putagadia – Angul links and the outer corridor comprising the western and eastern legs to the north of Tentuloi.
The MCRL has taken up the work of the inner corridor but the progress is very slow and they have not taken up the work of the outer corridor so far, the source said.
Therefore, it was later decided that MCRL should continue with the inner corridor work and the outer corridor work should be taken up separately in participative mode with the involvement of beneficiary coal mine owners.
The sources further said the outer corridor (beyond Tentuloi comprising the western and eastern legs) has been frozen. Tentuloi station is under development by MCRL as part of the inner corridor which is expected to come up by December 2025.
It was decided in the meeting to re-activate the existing Brahmani Railway Limited (BRL) as a company fully under the Commerce and Transport department and entrust the project to it. Mine owners will be invited for equity participation in the SPV, retaining at least 51 per cent equity with the state government.
Thereafter, Odisha Rail Infrastructure Development Ltd (ORIDL) has been asked to take up preparation of the DPR for the outer corridor and come up with the financial structuring of the project.
The government has directed the ORIDL to share the details of the outer corridor with the mine allottees and seek their plan of action for evacuation of coal through rail.
The government is also planning to declare the project as a Special Railway Project so that land acquisition can be done under the Railways Act, they said.