New Delhi: Prime Minister Narendra Modi and Japanese PM Shinzo Abe will lay the foundation for the country’s first high-speed train project on September 14th in Ahmedabad.
The double-track project will connect Ahmedabad with Mumbai, passing through 12 stations.
Total Project cost is estimated to be ₹ 97,636 crore (including price escalation, Interest During Construction (IDC) and import duties) and 81% of the project will be funded by Government of Japan loan for 50 years at 0.1% per annual interest with 15 years moratorium periods.
“It is for the first time in history in India that an infrastructure project is being funded on such favorable terms and the entire project would be funded without putting any strain on existing financial resources of the country,” a release issued by the Gujarat government stated.
The release stated that the project testing and commissioning date has been advanced from December 2023 to August 2022.
According to the details of the project, the Mumbai Ahmedabad High Speed Rail will be passing through two States, Maharashtra (155.642 km) and Gujarat (350.530 km) and one Union Territory of Dadra and Nagar Haveli (2 km). The double-track project involves 21 km of tunnel with seven km under sea at Thane Creek in Mumbai.
On the Ahmedabad-Mumbai route, total 12 stations have been proposed that include Mumbai, Thane, Virar, Boisar, Vapi, Bilimora, Surat, Bharuch, Vadodara, Anand, Ahmedabad and Sabarmati.
According to railway ministry officials, a total of 24 high-speed trains will be imported from Japan and the remaining rakes will be manufactured in India under Make in India initiative. Japan has also agreed to transfer the technology to India and sponsoring the project.
The two leaders are expected to sign several agreements during the visit and inaugurate a Japanese industrial park in the state that already hosts Honda and Suzuki auto plants.