Cabinet Clears Rs 12,236 Crore Infra Push, Backs Rail, Metro and Airport Projects

Last Updated:
The Union Cabinet approved Rs 12,236 crore in infrastructure projects, including major railway expansions, Srinagar airport terminal, Ahmedabad Metro extension, MSP for jute, power reforms, and renaming Kerala as Keralam
Cabinet Clears Rs 12,236 Crore Infra Push, Backs Rail, Metro and Airport Projects
Prime Minister Narendra Modi Credits: ANI

The Union Cabinet on Tuesday approved a series of infrastructure and policy decisions with a total financial outlay of Rs 12,236 crore, covering major investments in railways, urban transport and aviation, along with key policy measures including power sector reforms and the change of name from Kerala to Keralam.

The meeting, chaired by Prime Minister Narendra Modi, was the first Union Cabinet meeting held at the new Prime Minister’s Office, ‘Seva Teerth’.

Among the key approvals, the Cabinet cleared the doubling of the Gondia-Jabalpur rail line at an estimated cost of Rs 5,236 crore. It also sanctioned the 3rd and 4th rail line project between Punarkh and Kiul, involving an investment of Rs 2,668 crore.
Union Minister Ashwini Vaishnaw said.
Sign up for Open Magazine's ad-free experience
Enjoy uninterrupted access to premium content and insights.

In another rail-related decision, the Cabinet approved the construction of the 3rd and 4th line between Gamharia and Chandil, with a project cost of Rs 1,168 crore.

The three projects will cover eight districts across Maharashtra, Madhya Pradesh, Bihar and Jharkhand and will increase the existing network of Indian Railways by about 307 km.

In what ways do the railway projects under PM-Gati Shakti support ‘New India’ and Atmanirbhar development?

open magazine cover
Open Magazine Latest Edition is Out Now!

AIming High

20 Feb 2026 - Vol 04 | Issue 59

India joins the Artificial Intelligence revolution with gusto

Read Now

The proposed multi-tracking projects will enhance connectivity to approximately 5,407 villages with a combined population of about 98 lakh, significantly improving mobility, operational efficiency and service reliability while streamlining operations and alleviating congestion.

The projects are aligned with the Prime Minister’s Vision of a New India and are expected to make people of the region "Atmanirbhar" through comprehensive development that will enhance employment and self-employment opportunities.

Planned under the PM-Gati Shakti National Master Plan, they aim to strengthen multi-modal connectivity and logistic efficiency through integrated planning and stakeholder consultations, enabling seamless movement of people, goods and services.

The capacity enhancement will also improve rail connectivity to prominent tourist destinations including Kachnar Shiv Temple in Jabalpur, Kanha National Park in Balaghat, Gangulpara Dam and Waterfall, Pench National Park, Dhuandhar waterfall, Bargi Dam, Gomji-Somji temple, Chandil Dam, Dalma Hill Top, Hesakocha Waterfall, Raijama Ghati and Dalma Wildlife Sanctuary.

These routes are crucial for the transportation of commodities such as coal, steel, iron ore, cement, ballast and stone chips, fly ash, fertilizers, limestone, manganese, dolomite, foodgrains and POL.

What did Ashwini Vaishnaw say about the ‘Seva Teerth’ Cabinet meeting and Viksit Bharat 2047 vision?

The capacity augmentation works are expected to generate additional freight traffic of 52 MTPA. Railways, being an environment friendly and energy-efficient mode of transportation, will help achieve climate goals, minimise logistics costs, reduce oil imports by 6 crore litres and lower CO2 emissions by 30 crore kg, equivalent to the plantation of one crore trees.

"This meeting and this building are a direct expression of the reconstruction of New India. With this auspicious beginning, we welcome that future whose foundation has been laid by centuries of effort," Vaishnaw said.

"On this occasion, we also remember the history of this place. 'Seva Teerth' has been constructed at the site of the temporary barracks from the British era. The establishment of an active institution of national governance at that location is also a symbol of the transformation of New India," he said.

"The Union Cabinet again dedicated itself to the national resolve of 'Viksit Bharat 2047'. This is a long-term national journey, in which the decisions taken today will determine the future shape of the coming generations," Minister Vaishnaw said.

Boosting aviation infrastructure, the Cabinet also gave its nod for a new integrated airport terminal at Srinagar, entailing an expenditure of Rs 1,667 crore.

It further approved the extension of Phase 2B of the Ahmedabad Metro project, with an allocation of Rs 1,067 crore aimed at strengthening urban connectivity, and cleared the Minimum Support Price for raw jute with a financial implication of Rs 430 crore.

(With inputs from ANI)