Business
Union Cabinet Approves $1.5 Billion Railway Projects Across India

The Union Cabinet, led by Prime Minister Narendra Modi, has approved four significant railway projects with a total estimated cost of approximately ₹12,328 Crore (around $1.5 billion). This decision, announced on Wednesday by the Cabinet Committee on Economic Affairs (CCEA), aims to enhance connectivity and infrastructure across multiple states, including Karnataka, Telangana, Bihar, Assam, and Gujarat.
In a post on X, Prime Minister Modi highlighted the government’s commitment to improving transportation networks and infrastructure, stating, “Our focus on connectivity and next-gen infrastructure is reflected yet again in today’s Cabinet decision.” The approved initiatives include multi-tracking of three railway projects benefiting Karnataka, Telangana, and Bihar, along with a new railway line designed to connect remote areas of Kutch in Gujarat.
These projects are expected to facilitate faster and more efficient transportation of passengers and goods. They will not only improve connectivity but also enhance travel convenience, reduce logistics costs, and decrease reliance on oil imports. The initiatives are anticipated to lower carbon dioxide emissions, promoting sustainable and efficient rail operations.
Economic Impact and Employment Opportunities
The construction of these railway projects is projected to generate approximately 251 lakh (2.51 million) human days of employment. The new railway line will serve the Kutch region, potentially boosting tourism and supporting the transportation of essential commodities such as salt, cement, coal, clinker, and bentonite.
According to the official release from the CCEA, the strategic importance of the new line lies in its ability to connect significant sites, including the Harappan locations of Dholavira, Koteshwar temple, Narayan Sarovar, and Lakhpat fort. The project will introduce 13 new railway stations, benefitting approximately 16 lakh (1.6 million) residents across 866 villages.
The multi-tracking projects will significantly enhance connectivity for about 3,108 villages and around 47.34 lakh (4.734 million) people, including the Aspirational District of Kalaburagi. Improved line capacity is expected to lead to better mobility, operational efficiency, and service reliability for Indian Railways.
Alignment with National Goals
These projects align with Prime Minister Modi’s vision of a New India, aiming to foster self-reliance through comprehensive regional development. They are designed in accordance with the PM-Gati Shakti National Master Plan, focusing on enhancing multimodal connectivity and logistics efficiency through integrated planning.
Spanning 13 districts across the states of Gujarat, Karnataka, Telangana, Bihar, and Assam, the projects will extend the Indian Railways network by approximately 565 Km. These routes are crucial for transporting vital commodities such as coal, cement, clinker, fly ash, steel, containers, fertilizers, agricultural products, and petroleum products.
The CCEA release emphasized that the railways, as an environmentally friendly and energy-efficient mode of transport, will contribute to achieving climate goals. The projects are expected to reduce oil imports by 56 Crore Litres and lower CO2 emissions by 360 Crore Kg, which is equivalent to planting around 14 Crore trees.
In summary, the approved railway projects signify a substantial investment in India’s infrastructure, promising to enhance logistical efficiency and stimulate economic growth while contributing to sustainability goals.
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