(Ref. : R.B. Letters No. 79/W1/SA/34 dated 1-3-82 and 87/W1/SP/28 dated 18-2-88 )

1. Rules governing the construction, working and maintenance of Private and Assisted sidings are contained in the chapter XVIII of the Engineering Code.

2. Sharing of Cost

2.1 Private Sidings

a) In the case of new sidings where the line / section is electrified, the entire cost of OHE will be borne by the siding owners, as in the case of track. Maintenance cost will similarly be borne by the siding owners. 

b) In the case of new sidings, where the line is not electrified, the siding owners shall be required to give an undertaking that in the event of electrification of the line within a period of 10 years, they will bear the full charges of electrification of the siding. Maintenance cost will also be borne by the siding owners.

c) With a view to expediting the electrification of existing railway sidings, it has been decided that if financially justified, incentive in the form of sharing of 50% cost by the Railways may be agreed to. In such cases, no departmental charges shall be levied while working out the cost of electrification. The siding agreement shall provide that electrification assets so created will be the property of the Railways and maintained by the Railways at party's cost. In case the siding owner do not agree to bear their share of the cost of OHE, the movement to the skiing will have to be by party's own locomotives.

2.2 Assisted sidings

a) The cost of retrievable part of the OHE will be borne by the Railways as in the case of track and the cost of non-retrievable portion will be borne by the siding owner. The interest and maintenance charges will be borne by the siding owner, as in the case of track.

b) In case of new sidings, a provision should be made in the siding agreement that in case electrification of the siding becomes necessary in future, as a result of electrification of the section, the cost of OHE will have to be borne by the party as indicated in Para (b) above.

c) In case of existing sidings:

(i) With regard to sections which are being electrified, in case OHE for the assisted siding is considered essential, the cost will be borne by the Railways and party's concerned as Para (a) above.

(ii) Where section is already electrified and OH E is to be provided for the siding the provision of O HE will be at the cost of the Railways and party concerned as per Para (a) above otherwise, movement to the siding will have to be by party's own locomotives.

(iii) Where siding has already been electrified efforts, should be made to recover the cost as in case of Para (a) above.