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Union Budget: Over 1,300 Railway Stations to be Turned into City Centres

Union Budget: Over 1,300 Railway Stations to be Turned into City Centres

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NEW DELHI, Feb 12: The budgetary allocations in the union budget for 2025-26 has given an impetus to the centre’s ambitious plan to turn railway stations across the country into city centres.

The Centre has set aside over Rs 12,000 crore towards it in the next budget. Of the 1,337 stations identified for a makeover, Uttar Pradesh has the most (157), followed by Maharashtra (132), West Bengal (101), Bihar (98), Gujarat (87), Rajasthan (85), Madhya Pradesh (80), Tamil Nadu (77), Andhra Pradesh (73), Karnataka (61), Odisha (59), Jharkhand (57) and Assam (50).

The Indian Railways spent Rs 8,000 crore on the project in FY 2023-24 and allocated Rs 12,993 crore in FY 2024-25. Railway minister Ashwini Vaishnaw said, “We have no shortage of funds. Flexibility is maintained regarding allocation in the umbrella works. Amrit Bharat station scheme is one of these. As work progresses in different phases, we will get more funds in the revised estimates.” Funds for the scheme are earmarked under Customer Amenities in the budget.

Estimated to cost the government Rs 1 lakh crore, the project envisions airport-like facilities such as executive lounges and business centres, food plazas and retail shops, and free WiFi, peppered with local art and culture, to come up at these select railway stations.

Work is finished on six – Madhya Pradesh’s Rani Kamlapati Station, Gujarat’s Gandhinagar Capital Station, Karnataka’s Sir M Visvesvaraya Terminal Station, Uttar Pradesh’s Ayodhya Dham Railway Station, the first phase of Gomti Nagar Railway Station in Uttar Pradesh, and the second entry of Odisha’s Cuttack Railway Station.

Apart from air-conditioning and modern amenities, the intent is to give each station a local touch. For instance, the three-storeyed Ayodhya Dham Junction Railway Station — renamed after it was redeveloped at a cost of more than Rs 240 crore and inaugurated in 2021– boasts of a temple-like façade, depictions from the Ramayana and other motifs in the halls and railway platforms.

Mr Vaishnaw said the “station redevelopment programme sets a global benchmark for infrastructure development.” “By integrating development with heritage and sustainability, we are creating world-class infrastructure that will benefit passengers, urban landscapes, and the nation’s economy,” he said. The lion’s share of the money spent in the current financial year went to completing the entrance of Odisha’s Cuttack Railway Station and upgrading it.

According to officials, most stations are being redeveloped through the Engineering, Procurement, and Construction (EPC) model, under which a contractor handles a project from start to finish. However, 20 projects including Pune, Delhi Junction, Vijaywada and Chennai Central are being implemented in a Public Private Partnership Mode, an arrangement between government and private entities for public assets or services.

The scheme was designed after taking “learnings from earlier schemes that could not achieve its objective,” a senior official from the Railways Ministry said. “To avoid bottlenecks, the ministry prepared a detailed plan while incorporating views from all stakeholders — banks, contractors, suppliers, and officials — at the procedural level. A workshop was conducted across all railway divisions, and training was given to around 20,000 engineers,” he said.

The Railway Board has also drawn up a model tender document for the country’s 68 railway divisions to invite bids. “The redevelopment of railway stations would also have a multiplier effect on the economy, helping to improve economic growth and create new jobs,” the official said.

(Manas Dasgupta)

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