Sagarmala Yojana : Importacne of Railway

India is a country with many geographical specialties. India has a vast coastline and one of the biggest peninsulas in the world. Indian Government plans to modernize the Indian ports and has approved a project named Sagarmala. In Sagarmala projects, Indian Railway has significant place as Indian Railway is the vast developing Public sector section under Railway minster Shri Suresh Prabhu. Every day Indian Railway authorities are keen to introduce new and new technologies and services in every aspects of Railway. As a part of this, Railway Minster introduced Time tabled containers and Time tabled Auto car freight containers recently. 

Because of all these, Sagarmala Yojana has a very important role in Indian Railway.  

What is Sagarmala Project? 

The prime objective of the Sagarmala project is to promote port-led direct and indirect development and to provide infrastructure to transport goods to and from ports quickly, efficiently and cost-effectively. Therefore, the Sagarmala Project shall, inter alia, aim to develop access to new development regions with intermodal solutions and promotion of the optimum modal split, enhanced connectivity with main economic centers and beyond through expansion of rail, inland water, coastal and road services.  Government of India's press release give details of Sagarmala projects.

The Sagarmala initiative will address challenges by focusing on three pillars of development, namely (i) Supporting and enabling Port-led Development through appropriate policy and institutional interventions and providing for an institutional framework for ensuring inter-agency and ministries/departments/states’ collaboration for integrated development, (ii) Port Infrastructure Enhancement, including modernization and setting up of new ports, and (iii) Efficient Evacuation to and from hinter land. 

Concept and implementation


The Sagarmala Project therefore intends to achieve the broad objectives of enhancing the capacity of major and non-major ports and modernizing them to make them efficient, thereby enabling them to become drivers of port-led economic development, optimizing the use of existing and future transport assets and developing new lines/linkages for transport (including roads, rail, inland waterways and coastal routes), setting up of logistics hubs, and establishment of industries and manufacturing centers to be served by ports in EXIM and domestic trade. In addition to strengthening port and evacuation infrastructure, it  also aims at simplifying procedures used at ports for cargo movement and promotes usage of electronic channels for information exchange leading to quick, efficient, hassle-free and seamless cargo movement. 

For a comprehensive and integrated planning for “Sagarmala”, a National Perspective Plan (NPP) for the entire coastline shall be prepared within six months which will identify potential geographical regions to be called Coastal Economic Zones (CEZs). While preparing the NPP, synergy and integration with planned Industrial Corridors, Dedicated Freight Corridors, National Highway Development Programme, Industrial Clusters and SEZs would be ensured. Detailed Master Plans will be prepared for identified Coastal Economic Zones leading to identification of projects and preparation of their detailed project reports. 

In order to have effective mechanism at the state level for coordinating and facilitating Sagarmala related projects, the State Governments will be suggested to set up State Sagarmala Committee to be headed by Chief Minister/Minister in Charge of Ports with members from relevant Departments and agencies. The state level Committee will also take up matters on priority as decided in the NSAC. At the state level, the State Maritime Boards/State Port Departments shall service the State Sagarmala Committee and also be, inter alia, responsible for coordination and implementation of individual projects, including through SPVs 
(as may be necessary) and oversight. The development of each Coastal economic zone shall be done through individual projects and supporting activities that will be undertaken by the State Government, Central line Ministries and SPVs to be formed by the State Governments at the state level or by SDC and ports, as may be necessary. 

Sagarmala Coordination and Steering Committee (SCSC) shall be constituted under the chairmanship of the Cabinet Secretary with Secretaries of the Ministries of Shipping, Road Transport and Highways, Tourism, Defence, Home Affairs, Environment, Forest and Climate Change, Departments of Revenue, Expenditure, Industrial Policy and Promotion, Chairman, Railway Board and CEO, NITI Aayog as members. This Committee will provide coordination between various ministries, state governments and agencies connected with implementation and review the progress of implementation of the National Perspective Plan, Detailed Master 

Plans and projects. It will, inter alia, consider issues relating to funding of projects and their implementation. This Committee will also examine financing options available for the funding of projects, the possibility of public-private partnership in project financing/construction/ operation. 

Improvement of operational efficiency of existing ports, which is an objective of the Sagarmala initiative, shall be done by undertaking business process re-engineering to simplify processes and procedures in addition to modernizing and upgrading the existing infrastructure and improved mechanisation. Increased use of information technology and automation to ensure paperless and seamless transactions will be an important area for intervention. Under the Sagarmala 

Project, the use of coastal shipping and IWT are proposed to be enhanced through a mix of infrastructure enhancement and policy initiatives. The Sagarmala initiative would also strive to ensure sustainable development of the population living in the Coastal Economic Zone (CEZ). This would be done by synergising and coordinating with State Governments and line Ministries of Central Government through their existing schemes and programmes such as those related to community and rural development, tribal development and employment generation, fisheries, skill development, tourism promotion etc. In order to provide funding for such projects and activities that may be covered by departmental schemes a separate fund by the name ‘Community Development Fund’ would be created. 

The Institutional Framework for implementing Sagarmala has to provide for a coordinating role for the Central Government. It should provide a platform for central, state governments and local authorities to work in tandem and coordination under the established principles of “cooperative federalism”, in order to achieve the objectives of the Sagarmala Project and ensure port-led development. 

A National Sagarmala Apex Committee (NSAC) is envisaged for overall policy guidance and high level coordination, and to review various aspects of planning and implementation of the plan and projects. The NSAC shall be chaired by the Minister incharge of Shipping, with Cabinet Ministers from stakeholder 

Ministries and Chief Ministers/Ministers incharge of ports of maritime states as members. This committee, while providing policy direction and guidance for the initiative’s implementation, shall approve the overall National Perspective Plan (NPP) and review the progress of implementation of these plans. 

At the Central level, Sagarmala Development Company (SDC) will be set up under the Companies Act, 1956 to assist the State level/zone level Special Purpose Vehicles (SPVs), as well as SPVs to be set up by the ports, with equity support for implementation of projects to be undertaken by them. The SDC shall also get the Detailed Master Plans for individual zones prepared within a two year period. The business plan of the SDC shall be finalised within a period of six months. The SDC will provide a funding window and/or implement only those residual projects that cannot be funded by any other means/mode. 

In order to kick start the implementation of projects it is proposed to take up identified projects covered in the concept of Sagarmala for implementation forthwith. These identified projects for implementation in the initial phase will be based on the available data and feasibility study reports and the preparedness, willingness and interest shown by the State Governments and Central Ministries to take up projects. 

All efforts would be made to implement those projects through the private sector and through Public Private Participation (PPP) wherever feasible. Funds requirement for starting the implementation of projects in the initial phase of Sagarmala Project is projected at Rs. 692 crores for the FY 2015-16. Further requirement of funds will be finalized after completion of Detailed Master Plan for Coastal Economic Zones for future years. These funds will be used for implementation of projects by line ministries in accordance with approvals by the SCSC. 

The National Perspective Plan for the Sagarmala programme was prepared and approved by the National Sagarmala Apex Committee on 9th April 2016 and released at the maiden Maritime India Summit 2016, on 14th April 2016, by the Hon’ble Prime Minister.

Total of 173 projects have been initially identified under four projects archetypes of Sagarmala in National Perspective Plan, April 2016. The Project archetype and the number of projects identified are given below.

  • Port Modernisation - 53
  • Port Connectivity - 83
  • Port Led Industrialisation - 29
  • Coastal Community development - 8


Port Rail Connectivity Projects Under Sagarmala 


26 Port rail connectivity projects were identified under NPP  National Perspective Plan, April, 2016, of which 2 have been completed and 18 are under implementation by Ministry of Railways. Most of these projects will be completed by 2019-20. For 1 project, Indian Port Rail Corporation Limited has awarded the PMC work and 1 project is being  implemented by the Port itself.  Remaining 4 projects are for implementation through JV/Non – Government Rail (NGR) model.

The implementation of the projects identified under the National Perspective Plan, at an estimated investment of Rs. 4 Lac Crore, will be taken up starting FY 16-17 by the relevant Ports, State Governments/ Maritime Boards, Central Ministries, mainly through private or PPP mode. Sagarmala Development Company (SDC) is to be set up by the Ministry of Shipping to provide equity support to the project SPVs and funding support for  the residual projects under 
Sagarmala.  The Sagarmala consultants have projected that the identified industrial cluster projects will enable creation of approximately 1 Crore new jobs, including 40 Lakh direct jobs in the next 10 years.


Details of project undertaken by Railways, with timeline

Si. No
Name of project
Port
Completion Timelines
1
Connection of western DFC to Hazira
Hazira
To be completed by 2019
2
Connection of western DFC to Pipavav
Pipavav
To be completed by 2019
3
Connection of western DFC to Mundra
Mundra
To be completed by 2019
4
IB signalling for RV line
Vizag
To be completed by 2017
5
Decongesting RV line (Vizag &Gangavaram port) - 2nd line
Vizag
To be completed by 2018
6
Heavy Haul railways corridor from Talcher to Paradip port
Paradip
Under discussion with Ministry of Coal and Ministry of Power
7
3rd line from Bhadrak to Nergundi
Dhamra
To be completed by 2020
8
3rd and 4th line from Budhapank- Salegaon via Rajatgarh
Paradip
To be completed by 2020
9
Doubling of line from Rajatgarh to Barang
Paradip
To be completed by 2017
10
Doubling of line from Sambhalpur to Talcher
Paradip
To be completed by 2019
11
Doubling of line from Titlagarh to Sambhalpur
Paradip
To be completed by 2019
12
New Line from Angul to Sukhinda Road
Paradip
To be completed by 2020
13
New Line from Haridaspur to Paradip
Paradip
To be completed by 2019
14
Rail evacuation from port to Hospet and Bellary ( Hubli - Ankola link)
Mangalore
Will be taken up after environment clearance of the project.
15
Rail connectivity between Krishnapatnam to Obulavaripalle
Krishnapatnam
To be completed by 2019
16
Hospete-Hubballi-Londa-Tinaighate-vasco da gama at Mormugao
Mormugao
To be completed by 2020
17
Third line from Sukhinda Road to Jakhapura
Paradip
To be completed by 2016
18
New line from Jharsuguda to Barpalli
Paradip
To be completed by 2016



Details of Sagarmala projects and Port Rail connectivity projects. 26 Port rail connectivity projects were identified under NPP National Perspective Plan, April, 2016, of which 2 have been completed and 18 are under implementation by Ministry of Railways. Most of these projects will be completed by 2019-20. For 1 project, Indian Port Rail Corporation Limited has awarded the PMC work and 1 project is being implemented by the Port itself. Remaining 4 projects are for implementation through JV/Non – Government Rail (NGR) model.

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