Konkan Railway Set for Merger with Indian Railways; Maharashtra Clears Proposal with Conditions

Mumbai, May 22 – In a significant development for India’s railway infrastructure, the Maharashtra government has formally approved the long-pending merger of the Konkan Railway Corporation Limited (KRCL) with Indian Railways. The decision was conveyed in a letter from Chief Minister Devendra Fadnavis to Union Railway Minister Ashwini Vaishnaw, thus removing the final hurdle in the integration process.

The strategic move is aimed at resolving persistent financial and operational challenges faced by KRCL and bringing the scenic coastal line under the direct purview of the national railway system. With Karnataka, Goa, and Kerala having already consented to the merger, Maharashtra's approval completes the consensus among all stakeholder states.

However, the state’s nod comes with two key conditions. Firstly, the merged entity must retain the original and iconic name “Konkan Railway.” Secondly, Indian Railways must reimburse Maharashtra ₹394 crore – the amount the state contributed towards the formation of KRCL in 1990.

Speaking to the media, Chief Minister Fadnavis said, “Since the ability of Konkan Railway as a separate company is limited and its infrastructure requirements are very high, it was important that it gets the share from the huge investment portfolio of Indian Railways.” He added that the merger would bring improvements in passenger safety, service quality, and expansion of the railway network along the Konkan coast.

Responding positively, the Railway Ministry has agreed to retain the name “Konkan Railway,” a move Fadnavis welcomed as a “major reassurance.”

Established in 1990, KRCL is a joint venture with the Ministry of Railways holding a 51% stake, while Maharashtra (22%), Karnataka (15%), and Goa and Kerala (6% each) are the other stakeholders. The line spans 741 kilometers through some of India’s most challenging and beautiful terrains, connecting Maharashtra, Goa, Karnataka, and Kerala.

Since the launch of its first passenger service between Udupi and Mangalore in 1993, the Konkan Railway has been a vital corridor for both passengers and freight. The upcoming merger is expected to bring enhanced investment, better connectivity, and a boost to regional economic development.

Officials from the Railway Ministry indicated that post-merger, additional services, new lines, and modernized facilities would be planned to tap the full potential of the Konkan corridor.

As one of India's most iconic and scenic rail routes prepares for a new chapter under Indian Railways, stakeholders and citizens alike are hopeful that the merger will pave the way for transformative development across the western coastal belt.