Thiruvananthapuram: The Kerala Rail Development Corporation Ltd (K-Rail) has clarified that the fiscal burden of the SilverLine Project rests solely with the Kerala Government. This fact has already been conveyed to the Railways, said a statement from K-Rail.
The clarification was issued after the Railway Minister informed the Parliament the other day that SilverLine would hamper future railway expansion projects in Kerala and that the Indian Railways also may have to shoulder overseas loan liabilities on account of the proposed semi high-speed rail project.
K-Rail is a joint venture between the Kerala Government and the Indian Railways. Indian Railways holds a 49 per cent-equity share in K-Rail Corporation. As a result, the Railways is concerned over sharing the overseas loan liabilities of the SilverLine Project amounting to an estimated Rs 33,700 crore.
“Considering the anxiety of the Railways, the K-Rail had officially conveyed to the Union Finance Ministry that the financial liabilities in future would be shouldered by the Kerala Government,” said K-Rail authorities.
The Detailed Project Report (DPR), which was prepared by the K-Rail, estimated Rs 63,941 crore as the total project cost. The utility value of the project having such a huge cost is a bone of contention.
Expansion projects
Responding to the Centre’s concerns over future railway development in Kerala, K-Rail said that the Indian Railways had earlier informed that it was planning no projects on the railway land through which SilverLine tracks would be laid.
According to K-Rail authorities, the Minister was quoting in Parliament from a report from the construction wing of the Railways in Ernakulam stating that handing over railway land for buildig the SilverLine would affect other future projects. However, the SilverLine would pass parallel to the existing railway track only from Tirur to Kasaragod, pointed out K-Rail. Moreover, the Railways is carrying out a survey for a third track only between Shoranur and Ernakulam, it added.
“SilverLine will not come near the railway track along this stretch,” stated K-Rail. Similarly, land would be acquired for SilverLine only along one side of the Tirur-Kasaragod railway track. “The Railways can lay another track on the other side,” said the K-Rail authorities.
CM holds meet
Meanwhile, Kerala Chief Minister Pinarayi Vijayan analysed the progress of the SilverLine Project with Government and K-Rail officials on Wednesday. Adverse reports from the Indian Railways, the opposition protests and court intervention during the Chief Minister’s absence were among the topics discussed.
According to K-Rail officials, the public reactions from the Railways against SilverLine when the DPR is under consideration could hamper the project. They also sought the support of the state government to counter the protests against laying boundary stones.
Chief Secretary of Kerala V P Joy and K-Rail managing director V Ajith Kumar were among those who took part in the meeting.
