Project Implementation

In order to implement the Gandhidham - Palanpur rail section, KRC has entered into separate agreements with the Stakeholders, Ministry of Railways, Western Railways and with the Bankers. A brief summary of all the agreements are indicated below

  • A Memorandum of Understanding was entered into on 3rd January 2004 between GoG, KPT, MPSEZ, MoR, DPT and APSEZ, for implementing Gauge Conversion Project of Gandhidham - Palanpur MG rail track through a SPV.
  • In order to take over the responsibility & funding for implementing the project, a Shareholders' Agreement was entered into between RVNL, GoG, KPT, MPSEZ, DPT, APSEZ and KRC on 22nd April 2004.
  • Under the Construction Agreement signed between KRC and WR on 6th October 2005, the latter has been appointed as the Engineering, Procurement and Construction(EPC) Agency for the line and entrusted with the construction work.
  • Under the Concession Agreement entered into between MoR and KRC on 8th November 2005, the MoR has granted a concession to KRC for a period of 32 years to implement conversion of the existing MG line between Palanpur and Gandhidham into a BG line, and undertake its operation and maintenance during the period.
  • KRC had signed Loan documents & received debt from Orient Bank of Commerce and United Bank for Rs.200 Crores and Rs.100 Crores respectively for executing the PNU-GIM project in the year of 2005-06.
  • Under the Operations and Maintenance Agreement entered into between KRC and WR on 21st August 2007, KRC has contracted with WR to operate the goods train services and undertake the maintenance work till the termination of the concession period.
  • For computation of operation & maintenance (O&M) costs, raising & realizing the bills and adjustments of apportioned Earnings on KRC section, a Joint Procedure Order (JPO) is being executed between WR & KRC and the same is in advanced stage.

KRC undertook gauge conversion of 301 km meter gauge line on Palanpur-Gandhidham section in two phases and a mega block of 248 kms was taken w.e.f. 16th December 2005.

  • Palanpur-Samakhiyali – 248 kms (under Phase I):-After conversion, broad gauge line was commissioned on 24th March 2006 and opened for freight traffic by the Hon'ble Minister for Railways.
  • Samakhiyali-Gandhidham – 53 kms (under Phase II):-Under second phase remaining 53 km rail line was converted into broad gauge, which was also commissioned for freight traffic w.e.f. 26th November 2006 by Hon'ble Minister of State for Railways.
  • Commercial operations on KRC section started w.e.f. 1st July’2006 vide Chief Commercial Manager/Western Railway’s letter No. G.392/5(Comml) dated 26.6.2006.