ThiruvananThapuram: The Department of Economic Affairs under the Ministry of Finance Union has maintained the Sempel Semihigh Train project of the state government, titled Silverline Corridor, was postponed to do that the state would bear the obligation in debt services.
In accordance with the Acce-SSED project details by Toi, DEA also requested an effort that the project would be independent of any budget support from the train Ministry.
The top government sources say DEA requirements are being considered by the state government.
“This means that the center needs a guarantee that the state government will bear the losses in the future even though it is a project with the country and the train …
after guarantees are given, we will be cleared as qualified for foreign funding,” A Top official said.
Head Secretary V P Joy has met with the Chairperson of the Railroad on June 24 and provides the details of the required project, based on which the state has been asked to make detailed presentations before the train official after the Monsoon Parliament session.
Meanwhile, the state government, decided to continue land acquisition, and orders needed from the income department to prepare the land acquisition unit and the social impact assessment study was awaited.
Demand has been made for the Ministry of Finance to release the RS 300 Crore over the cost of land acquisition.
Kerala Rail Development Corporation Ltd (KRDCL), a joint venture between the State Government and the Railway Ministry, has also submitted a request to Kiifb to release Rs 2,100 Crore as a loan for the project.
50% work on a 50% overall software portal working on the software portal for land acquisition, being developed by the National Informatics Center (NIC), has been completed.
Loans from Hudco with government guarantees are also awaited and negotiations on loan interest, which was originally offered by 8%.
Financing options are also being explored with external agents such as the Japanese JICA Agency, Asian Development Bank and Asian Infrastructure Investment Bank.
This project will require 3,418 hectares, including railways and private.
From the estimated cost of RS 63,941 Crore, Rs 11,535 Crore has been estimated by overall compensation – RS 975 Crore to take over the railroad, Rs 6,100 Crore for private land and Rs 4,460 Crore for damage.
In addition, RS 1,730 Crore has been estimated for rehabilitation and resettlement.