AMARAVATI: Chandrababu Naidu led AP State government has decided to establish Andhra Pradesh Rail Infrastructure Development Corporation Limited (APRIDCL) under the chairmanship of Chief Secretary with the organisational structure proposed by railway authorities.
The decision has been taken in line with a Joint Venture Agreement (JVA) signed between the state government and Railway Ministry on December 30, 2016 to develop railway infrastructure in Andhra Pradesh through Special Purpose Vehicle (SPV). Suresh Prabhu, Union Minister of Railways requested the state government to partner with Indian Railways in its endeavor to develop railway network in the country and for consent of the state government to form SPV for raising of funds for development of network in AP.
As per the agreement, the state government will incorporate a Joint Venture Corporation (JVC) as a public company under the Act to carry the business.
The railway ministry will give active representation to states in planning, development, financing and implementation of railway projects as per state’s priority through the State Joint Venture Company (State JVC), which will mutually identify railway projects, undertake survey, prepare Detailed Project Report (DPR) and arrange statutory approvals and sanction.
The shareholding pattern of the company will be 49 per cent (Rs 49 crore) to railway ministry and 51 per cent (Rs 51 crore) to state government.
The JVC will be incorporated in Amaravati, Vijayawada in the name of Andhra Pradesh Rail Infrastructure Development Corporation Ltd. Both railway ministry and state government will nominate board of directors to the JVC.