Odisha to sign pact with Centre for setting up of SPV for rail projects

Bhubaneswar,November 4: The Odisha government is going to enter into a Memorandum of Understanding (MoU) with ministry of Railway for Special Purpose Vehicle (SPV) on a cost sharing basis for railway connectivity to the districts lacking the rail communication on Wednesday.

According to sources, the State government would have 51 per cent share in the SPV while Centre would contribute 49 per cent. Measures would be taken as per the SPV for rail connectivity to seven districts of Odisha, Transport minister Ramesh Majhi said.

The main focus of this pact will be given to Jeypore-Nabarangpur, Jeypore-Malkangiri railway line in the SPV, he added. To ensure rail connectivity to the tribal districts, the state government had announced to bear 50% and 25% of the construction cost of the Jeypore-Nabarangpur and Jeypore-Malkangiri lines respectively.

Notably, the State government has emphasized on rail connectivity to Malkangiri, Nabarangpur, Kandhamal, Deogarh, Boudh and Kendrapara districts.

Earlier, the state government had signed an MoU with the ministries of railways and coal for formation of a JV for development of railway infrastructure in coal-bearing areas. 

Another MoU was signed between the state government and the ministry of railways to implement the long-pending Khurda Road-Balangir project.

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