The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, on Wednesday approved the Ahmedabad (Sarkhej)-Dholera semi-high-speed double line railway project - the first of the Indian Railways planned with indigenously developed technology, with a total investment of Rs 20,667 crore. 

The project section will provide faster connectivity between Ahmedabad, Dholera SIR, the upcoming Dholera Airport and the Lothal National Maritime Heritage Complex (NHMC), a Cabinet statement said.

Connecting Ahmedabad with Dholera will cut down passenger travel time, enabling comfortable daily commuting and same‑day return trips. This semi-high-speed railway will not only bring the two cities closer but also benefit people living hundreds of kilometres away. It will serve as a pioneer project, acting as a reference model for the phased expansion of semi-high-speed rail across the country, it added.

The project covering the Ahmedabad district in Gujarat will increase the existing network of Indian Railways by about 134 km. The proposed projects will enhance connectivity to around 284 villages, with a population of about 5 lakh.

The new line proposal will provide direct connectivity and improve mobility, providing enhanced efficiency and service reliability for Indian Railways. The project is in line with Prime Minister Modi’s vision of a New India, which will make people of the region "atmanirbhar' by way of comprehensive development in the area, which will enhance their employment opportunities, the statement said.

The project is planned in accordance with the PM-Gati Shakti National Master Plan, with a focus on enhancing multi-modal connectivity and logistics efficiency through integrated planning and stakeholder consultations. These projects will provide seamless connectivity for the movement of people, goods, and services, the statement said.

The Railways, being an environment-friendly and energy-efficient mode of transportation, will help both in achieving climate goals and minimising logistics cost of the country, reduce oil import (0.48 crore Litres) and lower CO2 emissions (2 Crore kg), which is equivalent to the plantation of 10 lakh trees, the statement added.