Ambala division to take over Chandigarh railway station from April 1

With the signing of a “novation agreement” between the Ambala Railway Division and Indian Railway Stations Development Corporation (IRSDC), the former is set to take over the day-to-day affairs of the Chandigarh Railway Station from April 1, officials said on Tuesday

With the signing of a “novation agreement” between the Ambala Railway Division and Indian Railway Stations Development Corporation (IRSDC), the former is set to take over the day-to-day affairs of the Chandigarh Railway Station from April 1, officials said on Tuesday.

Earlier, the management and redevelopment of the Chandigarh Railway Station was being handled by the IRSDC. (HT Photo)

Earlier, the management and redevelopment of the station was being handled by the IRSDC since March 2019. However, in its order dated October 18 last year, the railway board decided to shut operations of the corporation and hand over the work to the respective zonal divisions. In 2011, the ministry of railways had approved setting up of a special purpose vehicle (SPV), ‘Railway Stations Development Corporation Limited’, with the equity participation of IRCON International Limited and Rail Land Development Authority (RLDA) to take up the redevelopment of railway stations. Accordingly, on March 3, 2012, the IRSDC was incorporated as a joint venture between IRCON and RLDA.

Senior divisional commercial manager (Sr DCM) Hari Mohan said that the novation agreement that was signed between three parties – IRSDC (transferor), railway division (transferee) and 21 existing contractors (third party), will come into effect from the upcoming next financial year.

“In the meantime, there will be asset hand-holding by the division for smooth takeover of facilities like electrical, engineering, signal and telecommunication. Till March 31, all the expenses will be borne by IRSDC and similarly the earnings,” he said.

On being asked about the state of existing contracts, Mohan said, “We may foreclose a few of the contracts despite their remaining contractual period. We have started work for inviting new tenders to exploit the full earning potential of Chandigarh station from avenues like parking, sanitation, catering and other earning contracts.”

The IRSDC had awarded a tender to give the station a world class makeover on the lines of airport on a land of 493.6 acres.

However, the redevelopment and expansion remain delayed, primarily due to the pandemic that will also facilitate a number of facilities between Chandigarh and Panchkula.

Now, the RLDA will look over the task, divisional railway manager (DRM) Gurinder Mohan Singh said, further adding, “We don’t have enough infrastructures to look after the development of stations. As per my knowledge, the RLDA is set to take over the project and have also appointed an in-charge in Chandigarh.”