New Delhi: The ministry of railways has dropped its proposal for monetisation of stations on public-private partnership mode and projects are now being taken up under engineering, procurement and construction (EPC) mode, a source said. The source also said that the ministry of railways has been asked to expedite monetisation of other assets, including trains, goodsheds, hill rail, stadiums, railway colonies and railway land parcels.
"Largest asset class (stations) dropped. Stations earlier proposed on PPP mode are now being taken up under EPC mode," the source said. The ministry has so far raised only Rs 1,829 crore against the target of Rs 30,000 crore in the current financial year, the source added.
"Likely realisation from asset monetisation of Indian Railways under NMP (National Monetisation Pipeline) in the current fiscal has been now estimated at Rs 4,999 crore," the source added.
Finance minister Nirmala Sitharaman in a meeting with Niti Aayog CEO Parameswaran Iyer on November 14 reviewed the progress of NMP implementation.
An e-mail sent to the official spokesperson of the ministry of railways seeking comments remained unanswered.
Earlier this year, Ex-CEO of NITI Aayog Amitabh Kant had said that the government's plan to monetise railway assets by allowing private players to run trains did not attract enough investors due to lack of proper structuring and the railway ministry is looking at it afresh.
According to the NMP document, a total of 400 stations, 90 passenger trains, railway stadiums and colonies, and the famed Konkan and hill railways were among the assets identified by the government for monetisation.
In August 2021, Sitharaman announced the Rs 6 lakh crore NMP over four years to unlock value in infrastructure assets across sectors. Niti Aayog in consultation with infrastructure line ministries had prepared the report on the NMP.