Maharashtra Govt Rejects MahaRail–MRVC Merger, Retains Corporation Under State Control

Mumbai, May 12: The Maharashtra government has rejected the Railway Board’s proposal to merge Maharashtra Rail Infrastructure Development Corporation (MahaRail) with Mumbai Railway Vikas Corporation (MRVC), making it clear that MahaRail will continue to function under the state government’s control.

Senior officials said the state has informed the Railway Ministry that it has no objection if the Centre withdraws its investment from MahaRail. The move signals the state government’s intention to retain MahaRail as an independent infrastructure agency and expand its role beyond railway projects.

Corporation may later be shifted under PWD

At present, MahaRail functions under the state Home (Transport) Department. However, officials indicated that the corporation may be brought under the Public Works Department (PWD) in the future.

This would allow MahaRail to undertake a broader range of infrastructure works across Maharashtra, including projects linked to civic bodies, MMRDA and other state agencies.

MahaRail currently handling over 50 projects

MahaRail is currently handling more than 50 infrastructure projects across the state, including railway overbridges, flyovers and cable-stayed bridges.

Officials said the corporation has developed technical expertise in executing large transport and connectivity projects and the government wants to strengthen it further instead of merging it with another agency.

Railway Board had proposed merger in 2025

The merger proposal was sent by the Railway Ministry in October 2025. In its communication to the state government, the Railway Board had pointed out that Maharashtra is the only state with two separate joint venture companies working on railway infrastructure development — MahaRail and MRVC.

The ministry argued that the overlapping functions of both organisations were creating difficulties in project planning, manpower deployment and coordination.

The Railway Board had claimed that a merger would improve transparency, ensure better use of technical manpower and streamline project execution between the Centre and the state government.

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State rules out merger for now

However, the Maharashtra government has decided against the proposal, effectively ending the possibility of a merger for now.

Officials also clarified that MRVC, the joint venture between the Railway Ministry and the Maharashtra government, will continue to independently execute Mumbai suburban railway infrastructure projects.

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