A Parliamentary panel has strongly favoured enhancing gross budgetary support to Railways to provide rail connectivity to the backward regions of the country, and financial assistance from state governments to share cost of the projects.
"It is imperative that Finance Ministry enhances the gross budgetary support to the required level and state governments come forward to share the cost of the projects," said the Parliamentary Standing Committee of Railways in its report tabled in Parliament today.
"The committee, therefore, desires the Railway Ministry pursue the matter purposively with the Finance Ministry and state governments for such projects," it added.
Under the prevailing circumstances, it is neither physically nor financially possible for the Railways to provide rail connectivity to all backward regions and meet the huge demand for the people-friendly mode of transportation.
However, as rail connectivity can give a push to the much needed socio-economic development of the backward and remote regions, it becomes the prime responsibility of both the Central and the state governments to make available requisite finance for implementing rail projects in these areas, the committee underscored.
Disapproving Planning Commission's move to give in-principle approval to new projects where states are giving free land and sharing 50 per cent of the project cost, the committee sought review of the decision and relax norms.
This will help those states who are having resource crunch but are in dire need of rail connectivity, it noted.
