The government is examining afresh the proposal of a new direct rail line between Kakinada and Pithapuram in Andhra Pradesh on the request of the state government though the project is not financially viable, Railways minister Piyush Goyal said today.
The length of the project which was included in the railway budget in 1999-2000 is 21.5 kms.
"A double line connection between Kakinada to Samalkot exits which is underutilised and hence this new line project is not financially viable and the Railway Board has decided to freeze the project.
"However, in view of further reference from the Andhara Pradesh government, the matter is being re-examined afresh," Goyal said during Question Hour in the Rajya Sabha.
Replying to a query, he said the proposed new line will not generate any additional freight traffic and at best can be used for three Mainline Electric Multiple Unit or MEMU trains.
He said the anticipated project cost initially was Rs 41.66 crore which has grown manifold now.