Policy for Private Investment in Rail Infrastructure Sector through Domestic and Foreign Direct Investment
This Press Note, with immediate effect, permits FDI in the following sectors of the Railway Transport Sector: –
Construction, operation and maintenance of the following.
(i)Suburban corridor projects through PPP, (ii) Highspeed train projects, (iii) Dedicated freight lines, (iv) Rolling stock including train sets, and locomotives/ coaches manufacturing and maintenance facilities, (v) Railway Electrification, (vi) Signaling systems, (vii) Freight terminals, (viii) Passenger terminals, (ix) Infrastructure in industrial park pertaining to railway line/sidings including electrified railway lines and connectivities to main railway line and (x) Mass Rapid Transport Systems.
FDI beyond 49% of the equity of the investee company in sensitive areas from security point of view, will be brought before the Cabinet Committee on Security (CCS) for consideration on a case to case basis. Paragraph 6.1 has been amended as under: – 6.1 Prohibited Sectors: FDI is prohibited in:
(a) Lottery Business, including Government/private
lottery, online lotteries etc.
(b) Gambling and Betting, including casinos etc.
(c) Chit funds
(d) Nidhi company
(e) Trading in Transferable Development Rights (TDRs)
(f) Real Estate Business or Construction of Farm Houses
(g) M anufacturing of Cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes
(h) A ctivities/sectors not open to private sector investment: e.g: (l) Atomic energy and (ll) Railway operations ( other than permitted activities mentioned in para 6.2)
Foreign technology collaboration in any form, including licensing of franchise, trademark, brand name, management contract, is also prohibited for Lottery Business and Gambling and Betting activities.
Paragraph 6.1.12.1(ii) & 6.1.12.1(iii) are amended as under: –
(ii) “Infrastructure” refers to facilitiesrequired for functioning of units located in the Industrial Park and includes roads ( including approach roads), railway line/sidings including electrified railway lines and connectivities to the main railway line, water supply and sewerage, common effluent treatment facility, telecom network, generation and distribution of power, air conditioning.
(iii) “Common Facilities” refer to the facilities available for all units loicated in the industrial park, and include facilities of power, roads (including approach roads), railway line/sidings including electrifies railway lines and connectivities to the main railway line, water supply and sewerage, common effluent treatment, common testing, telecom services, air conditioning, common facility building, industrial canteens, convention/conference halls, parking, travel desks, security service, first aid center, ambulance and other safety services, training facilities and such other facilities meant for common use of the units located in the Industrial Park.
A new Paragraph 6.2.16, as under, has been added: –
