Cross-border links : Railway department to get Rs 480 million

KATHMANDU, MAY 19 -

The land acquisition process to develop cross-border railway links with India is expected to get a boost with the Finance Ministry approving the transfer of Rs 480 million to the Railway Department.

The task of compensating people for their land acquired to build the new railway track and upgrade the Janakpur-Jayanagar link has not moved ahead effectively due to the delay in the budget sanctioning for the cash strapped department.

“We are getting around an additional Rs 480 million within a week from the Finance Ministry,” said Ram Kumar Lamsal, the director general of the department. “Even though we are not given funds as sought, this amount will mainly help us start distributing the compensation.”

The department had been demanding Rs 1.25 billion to compensate people whose lands have been acquired for opening a new track from Rani Sikiyahi to Biratnagar. About a month ago, the Finance Ministry had provided Rs 150 million for the same.

The money being given to the department is savings from various development projects carried out by the Ministry of Physical Planning and Works.

On May 7, the parliamentary Public Accounts Committee (PAC) had directed the Finance Ministry to provide resources as demanded by the department within a week so that it could carry out the railway development work.

Lamsal said the department would release half of the Rs 480 million for the compensation and half for the new route linking Biratnagar. He said they need Rs 700 million to be distributed in compensation in Biratnagar and around Rs 550 million for the Janakpur railway.

The District Administration Office, Morang, has already started distributing compensation to locals in Biratnagar. Of the Rs 210 million released by the department, the office has distributed around Rs 70 million in compensation as of Friday, according to the department.  However, compensation distribution work for the land acquired for the Janakpur railway is yet to begin.

With the government getting serious about the resources, the department has already asked the Indian Railway Construction through the Indian Embassy in Nepal to “go ahead” with the bidding process for the constructing of the Rani Sikiyahi-Biratnagar link and upgrading of the Janakpur railway. As part of a bilateral agreement, Nepal has to make available the land and India will build cross-border links and upgrade and expand the Janakpur railway.

India has been postponing the bidding process due to Nepal’s failure to provide land for the link.

Source: The Kathmandu Post