Railway Projects in Tamil Nadu Face Major Budget Cuts

21 Aug 2024 CW Team

The Rameswaram-Dhanushkodi new line project has received an allocation of Rs 560 million, despite not being mentioned in the interim budget. However, several other key railway projects in Tamil Nadu have faced significant budget cuts, raising concerns about their timely completion.

The long-delayed 184.45 km Tindivanam-Nagari new railway line, initially allocated Rs 3.5 billion in the interim budget, has seen its funds slashed to Rs 1.54 billion in the final allocation. Similarly, the Dharmapuri-Morappur (36 km) project, which had garnered much attention during its inauguration, has had its budget reduced from Rs 1.15 billion to Rs 493.7 million.

The Erode-Palani (91.5 km) new line project was allocated a mere Rs 1,000, a drastic reduction from the previously announced Rs 1 billion. In addition, the doubling works for the Katpadi-Villupuram (160 km), Salem-Karur-Dindigul (160 km), and Erode-Karur (65 km) lines, which each had an interim allocation of Rs 1.5 billion, have also been reduced to just Rs 1,000 each.

R. Pandiaraja, a member of the Zonal Rail Users Consultative Committee, criticized the union government's fund allocation, calling it a "scam." He highlighted the high cost of laying new railway lines with electrification, which requires Rs 150 million per km. For instance, the Madurai-Thoothukudi new line demands Rs 15 billion, but only Rs 180 million has been allocated this year, barely enough to lay 1 kilometer of track.

Pandiaraja urged the railways to disclose the percentage of land acquired for each project and allocate funds accordingly, suggesting that there seems to be little intention to complete these new line projects. This year, a total of Rs 63.62 billion was allocated for railway projects in Tamil Nadu, but the drastic cuts have cast doubt on the future of several critical developments.

Infrastructure Urban

07 Oct 2025

India To Invest $37 Billion To Boost Petrochemical Capacity

India is set to become a major global player in the petrochemicals industry, driven by a planned capital expenditure of $37 billion (Rs 3.1 trillion) aimed at reducing import dependency and enhancing self-sufficiency, according to S&P Global Ratings.In its latest report titled “First China, Now India: Self-Sufficiency Goals Will Add To Petrochemicals Supply”, S&P said India’s large-scale capacity expansion—mirroring China’s earlier push—will likely intensify oversupply pressures in Asia’s petrochemical markets.Currently the world’s third-largest petrochemical consumer a..

Indian Railways Expands Global Exports Of Rail Equipment

Indian Railways has announced that it is rapidly emerging as a global exporter of railway equipment, including bogies, coaches, locomotives, and propulsion systems, under the government’s ‘Make in India, Make for the World’ initiative.According to an official statement, India’s railway products are now reaching over 16 international markets, reflecting the country’s growing capacity to design, develop, and deliver world-class rail solutions.Metro coaches have been exported to Australia and Canada; bogies to the United Kingdom, Saudi Arabia, France, and Australia; propulsion systems t..

RailTel Awards Rs 163 Million Contract To RTNS Technology

RailTel Corporation of India Limited (RailTel), a Mini Ratna Public Sector Undertaking, has awarded a domestic work order worth Rs 163 million to RTNS Technology Private Limited.The contract, issued on 30 September 2025, involves the supply and installation of equipment and related services for one of RailTel’s key customers. The project underscores RailTel’s commitment to advancing technology and communication infrastructure through collaboration with domestic system integrators.RTNS Technology Private Limited, an ISO-certified system integrator, provides comprehensive solutions for perim..