In its latest report, tabled in both Houses of Parliament on Wednesday, the Committee has expressed distress at the conflict created due to the Government’s “new concept of developing world class stations” on sites identified by the Indian Railways Catering and Tourism Corporation (IRCTC), slowing down the project and subsequently leading to clearance for only 21 out of the proposed 29 sites in the first lot.
Having decided to set up 100 “Rail Ratna” brand of budget hotels near railway stations for tourists and rail users, the ministry had authorised IRCTC to develop them on public private partnership mode in 2006. After identifying 100 locations, IRCTC simultaneously initiated the tendering process for 29 sites and sought the ministry’s clearance to get the land allotted.
However, the ministry put on hold the process of handing over sites for these 29 hotels stating that it was considering the modalities for giving land to it’s PSUs and authorities and was “reviewing the proposed sites with a view to develop world class stations”. After months of delay, the ministry finally cleared 21 sites, leaving out eight sites for development of stations.
Seeking expeditious resolution of the conflict, the Committee has recommended that the ministry first undertake a review of all the remaining sites identified by IRCTC in a bid to ensure that no delay occurs in finalising sites for budget hotels.
Panel wants haulage charge withdrawn
The Parliamentary Committee on Public Enterprises has criticised the Railway Ministry for capping the gross profit of IRCTC at Rs 30 crore annually by levying a haulage charge on its pantry cars. During 2006-07, the ministry capped the IRCTC’s gross profit by directing that the corporation will have to bear the full marginal cost of haulage of pantry car and all surplus earnings over Rs 30 crore will have to be paid as haulage...
Group Websites : Express India | Financial Express | Screen India | Loksatta | Kashmir Live | Biz Publications
