Tuesday, August 30 2005 18:27 Hrs (IST) - World Time -

New Delhi: Parliament today (Aug 30, 2005) approved a bill to set up a special authority to oversee development of rail land for commercial use with Railway Minister Lalu Prasad promising that poor people who have encroached on rail land would not be evicted forcibly but efforts would be made to persuade and rehabilitate them satisfactorily.

The Railways (Amendment) Bill, 2005, which seeks to further amend the Railways Act of 1989, was passed by the Lok Sabha by a voice vote amidst a boycott of the minister's reply by the entire opposition. The Rajya Sabha has already approved the bill.

The bill paves the way for establishment of the Rail Land Development Authority (RLDA), which would prepare schemes for use of railway land and develop it for commercial use.

The Member (Engineering), Railway Board will be the ex-officio chairman of the authority which include a vice chairman and three other members. Replying to a debate on what he termed as a "revolutionary" and "historic" bill, Prasad said commercial use of unutilised rail land would generate good revenue for the Railways and help develop more facilities for the poor people.

"Poor people who have encroached on railway land will not be removed with force," he said adding they will be rehabilitated satisfactorily. Prasad said this legislation was possible because of the "revolutionary leadership" of UPA Chairperson Sonia Gandhi and her "blessings".

Gandhi was present in the House and seated near the Railway Minister on the front row as ruling party members applauded his encomiums for her. At the same time, Prasad used the occasion to hit out at the NDA regime. He said that the Railways were on the brink of closing during their tenure. Passenger fares and freight rates had been hiked during the NDA term and yet the Railways had incurred huge losses, he said.

On the other hand, rail profits had gone up during the UPA government's tenure without fares being increased, he said adding on the contrary, there has been a reduction of Rupee one on all second class fares.

Prasad promised that efforts would be made to further reduce rail fares for the poor people. Prasad said Railways had a total of 4.23 lakh hectares of land of which 43,000 hectares was lying vacant and 2,200 hectares was encroached upon.

Emphasising that the Railways need to stand on its own feet, he said commercial use of rail land would generate additional revenues. He said this year, Railways expected to generate profit of Rs.10,000 crore without taking recourse to increasing passenger fares and freight rates.

On the demand that surplus rail land should be handed over to State governments, he said Railways could consider giving it out on lease. "The land will remain within our jurisdiction," he said.

Describing Railways as the "power house" of the country, he said with the additional revenues, rail services would be expanded significantly. He said Railways would also consider utilising its land along rail lines for the establishment of hospitals, hotels, motels and other uses, particularly for the benefit of the poor people.

Schemes would be drawn up for both short term and long-term gains for the Railways, he said. Praising the new National Rural Employment Guarantee Scheme to ensure a minimum of 100 days employment to every rural household in a year, Prasad said this would deter people from going to cities. He said there will be a "Chalo gaon' (Go to villages) movement in the country.