Prime Minister Syed Yousuf Raza Gilani has shown serious concern over the deteriorating condition of Pakistan Railways (PR) and directed the concerned authorities to take every possible measure to pull PR out of current crisis, sources revealed.

Prime Minister expressed these concerns in a meeting where he was briefed by Director Operations (DO) PR. Federal Minister for Railway, Finance Minster, Secretary Railway and chairman Railway Board also attended the meeting, sources revealed.

The meeting was convened in the backdrop of resignation threat by Railway Minister in the cabinet meeting held on Wednesday, in which he expressed annoyance over the reluctance of Finance Ministry to release the needed funds, sources maintained.

Talking to Business Recorder, Saeed Akhtar said that a detailed briefing was given to the Premier over the shortage of locomotives. The main reason behind shortage of locomotives was that funds were not released in time for purchase of locomotives required to run PR in a better way.

He further said that PM directed the Ministry of Finance and the Ministry of Railways to ensure payment of salaries and pension of Railways' employees on regular basis.

The finance minister informed the meeting that the financing agreement with the Banking Consortium will be signed within one week for funding the rehabilitation of 96 locomotives at a cost of Rs 6.1 billion. All the non-productive Railways sections will be closed, Saeed added.

He further said that government would ensure the provision of diesel for locomotives and the credit limit from PSO will be doubled.

The private-public partnership based freight operation will be conducted by FPCCI from December 25 this year. Non-stop Business Express will be operated between Lahore and Karachi and Railways will get Rs 1.15 billion.

Shalimar Express under public-private partnership will also be operated between Lahore and Karachi.

He further said that the prime minister directed Minister for Railways to monitor the Railways operation on daily basis. The prime minister will chair meeting every month to review the programme envisaged for the Railways turnaround.

Restructuring of Railways will be taken on priority basis under the guidance of CCOR (Cabinet Committee on Restructuring).  The CEO and CFO will be appointed by the Prime Minister on the recommendations of CCOR, he added.

Saeed said that special CDWP meeting would be convened within next two weeks to reprioritise PSDP funded projects of Pakistan Railways. A joint venture project for rehabilitation of locomotives and freight operation is under implementation. The prime minister directed for its expeditious completion. An Assessment Management Company will be set up for management of non-core assets of Pakistan Railways including its land bank, he added.

SOURCE: BUSINESS RECORDER