RAWALPINDI, June 17: The federal government has made an allocation of Rs11.3 billion to improve the services of Pakistan Railways during the next financial year, official sources told Dawn.

New projects include procurement and manufacturing of 75 diesel locomotives; 150 passenger coaches, construction of railway line and container terminal at Gwadar to provide up- country linkages and modern signalling between Lodhran-Khanewal to Shahdra, sources said.

Furthermore, work on track rehabilitation of railway network, procurement of 69 diesel locomotives; procurement and manufacture of 625 passenger coaches; procurement of 2300 bogie high capacity wagons; rehabilitation of 450 passenger coaches; re-commissioning of 55 stabled diesel locomotives; doubling of track on Lodhran- Raiwind sections; and repair of damages to railways assets during the riots in December 2007 would continue during the fiscal year 2008-09.

Sources said that as a major step under the National Trade Corridor (NTC) initiative, Pakistan Railways would be transformed into a corporate entity making profitable business through its core activities.

Railways Business Plan was being prepared and a professional Chief Executive Officer (CEO) would be appointed to run the Railways.

Seven fast freight trains have already been introduced from Karachi to Lahore and Faisalabad and back, while the other important initiatives include finalisation of track access policy for private sector and outsourcing of container transportation.

During the outgoing fiscal year, Rs11.6 billion were spent on the improvement of infrastructure and procurement of essential material for locomotives, coaches, bogie wagons and track rehabilitation of the railway network. Work on track rehabilitation, doubling of track from Khanewal to Raiwind, procurement of 144 diesel locomotives, 600 passenger coaches, strengthening and rehabilitation of 159 weak bridges and 2300 high capacity wagons continued with further acceleration.

To develop indigenisation a pilot project for manufacture of five diesel locomotives initiated. Work on conversion of meter gauge into broad gauge on Mirpurkhas to Khokhrapar section, feasibility studies for laying new tracks on Havelian to Khunjerab, high-speed track between Rawalpindi and Lahore completed and work on Shahdra-Faisalabad and Shahdara-Lalamusa sections continued.