New Delhi, Sep 16 (IANS): The Cabinet Committee on Economic Affairs (CCEA), on Wednesday has approved doubling of the Hotgi-Kudgi-Gadag railway line at an anticipated cost of Rs.1,618 crore and completion cost of Rs.2,058 crore, an official statement said here.

Hotgi-Kudgi-Gadag route is a single line rail link between Guntakal-Pune-Mumbai and Hospet-Hubli-Goa rail routes. This rail link connects the cities of Bengaluru and Mumbai.

"A number of integrated steel plants, power plants, cement plants are coming up along the Hotgi-Kudgi-Gadag route," Communications and IT Minister Ravi Shankar Prasad told reporters after the CCEA meeting chaired by Prime Minister Narendra Modi.

Of the total cost, Rs.946 crore was already received from NTPC under the customer funding model for doubling of the stretch between Hotgi-Kudgi (134 km) and the remaining amount of Rs.1,107.58 crore will be funded through the gross budgetary support of railway ministry or extra budgetary resources or both, the statement said.

This doubling work will provide the necessary line capacity for introduction of additional trains and smooth movement of rakes to and from the industries and power plants.

"This will also boost overall development of the region. In view of the industrial activities taking place in the area, demands are also being received for running of additional train services through this route," it added.