Union Cabinet Approves South Coast Railway Zone

(Source – Indian Express, Section – Economy – Page No. – 15)

Topic: GS3 – Economy – Infrastructure

Context

● The Union Cabinet approved the formation of the South Coast Railway (SCoR) zone, making it the 18th zone of Indian Railways.

 

Analysis of the news:

Creation of the South Coast Railway Zone

• The Union Cabinet approved the formation of the South Coast Railway (SCoR) zone, making it the 18th zone of Indian Railways.
• This new zone, headquartered in Visakhapatnam, was mandated under the Andhra Pradesh Reorganisation Act of 2014.
• It has been carved out from portions of the East Coast Railway (ECoR) and South Central Railway (SCR) zones to improve operational efficiency and cater to growing passenger and freight demands in Andhra Pradesh.

Reorganization of the Waltair Railway Division

• The Waltair Railway Division, previously part of ECoR, has been split into two divisions.
• One part, renamed the Visakhapatnam Railway Division, has been integrated into the new SCoR.
• The other portion, including major freight routes, will now function as a new division with its headquarters in Rayagada, Odisha, under the ECoR zone.
• This restructuring aims to enhance logistics for key industries and ports in the region.

Rationale Behind the New Railway Zone

• The creation of SCoR aligns with the Central government’s commitment to Andhra Pradesh post-bifurcation.
• Announced initially in 2019, the project is expected to support industrial and agricultural development, boost port connectivity for Visakhapatnam and Krishnapatnam, and promote tourism in key locations such as Tirupati.

Geographical Coverage of SCoR

• The South Coast Railway will oversee major railway divisions, including Vijayawada and Guntur (from SCR) and the newly created Visakhapatnam Division.
• The zone will cover Andhra Pradesh and parts of Telangana and Tamil Nadu.
• Its jurisdiction includes significant railway routes connecting Palasa, Duvvada, Kuneru, Vizianagaram, Paralakhemundi, Bobbili, and Visakhapatnam Steel Plant, spanning approximately 410 km.

Economic Importance of Waltair Division

• The Waltair Division is a major revenue generator due to its strategic freight links with the mining and steel industries in Odisha and Chhattisgarh.
• In FY 2023-24, ECoR set a record by loading 250 million tonnes of freight, with Waltair contributing 74.66 million tonnes.
• The division’s separation from ECoR has sparked criticism, with concerns that Odisha’s economy may suffer due to the shifting of its revenue-generating railway segments to Andhra Pradesh’s new railway zone.

Practice Question:  The creation of the South Coast Railway (SCoR) zone aims to enhance regional connectivity and economic growth. Critically analyze its impact on freight transport, state revenues, and political dynamics, with a focus on the concerns raised by Odisha. (150 Words /10 marks)

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