The railways has chalked out the parameters based on which it would select developers, and also explained the duties and responsibilities of developers. The developers have now been asked to send their suggestion by 15th January 2016 after which the railways would come out with a final document.
New Delhi: Indian Railways has prepared a draft framework of rules for developers who wish to undertake contracts for re-development of 400 railways stations across the country, six months after Union cabinet gave its approval for such a move by inviting open bids in an attempt to bring in private investment to the public utility.
The railways has chalked out the parameters based on which it would select developers, and also explained the duties and responsibilities of developers. The developers have now been asked to send their suggestion by 15 January after which the railways would come out with a final document.
The draft framework says that developers have to get all clearances on their own for the re-development work. They also need to make safety arrangements for railway traffic during the construction.
The national carrier also wants the developers to allow private vendors operating under the commercial lease and licences of railways on stations till the end of their lease period.
The developers won’t be allowed to block rail traffic for more than two-three hours in a day or night and would also not be allowed track diversion.
On the revenue model, a senior railway ministry official said the railways will take 15-20% as upfront premium and rest on annual basis. “While earlier we had plan to take premium from developers on monthly basis, now we have decided to take 15-20% as up front premium and rest on annual basis. The change in revenue model has been done because the developers would be investing huge sums and would need money,” the official said on condition of anonymity. The final modalities are still to be worked out and it would depend on case-to-case basis, the official added.
“The bidders who would be submitting their plans would be compensated based on a compensation formula in terms of square feet and would also depend on case to case basis,” the official said.
Indian Railways had uploaded a draft tender document for invitation of proposals for re-development of 400 A1 and A category railway stations. It said that developers can apply as a single entity or under a consortium where change in composition would be allowed only at the bidding stage. A developer would be allowed to submit only one application per station.
Indicative facilities on re-developed stations:
- Station building to be an iconic structure with state-of-the-art facilities.
- Segregation of arrival/departure of passengers so that there is no conflict
- No parcel movement across the length of platforms
- Essential facilities – small retail shops, washroom, cloak room, drinking water, ATM, pharmacy, internet, food courts
- Integration of station with public/private transport systems
- Station structures to be green buildings
- While designing station, provision for future expansion of platforms and lines