The Dedicated Freight Corridor Corporation of India (DFCCIL) has proposed de-risking the private concessionaire that develops the Sonnagar (New Chirailapauthu) to Andal section of the Eastern Dedicated Freight Corridor (DFC). DFCCIL intends to develop this portion of the DFC through a Design, Finance, Build, Operate and Maintain & Transfer (DFBOT) model on Public Private Participation (PPP) basis.
“Private players said they were skeptical of the projected traffic at the proposed section of the freight corridor over the 30 year contract period,” said R K Jain, Managing Director at DFCCIL.
“To address this issue, the Indian Railways and DFCCIL shall take over the traffic and tariff risk which will largely reduce the quantum of risk on the part of the Concessionaire.