The railway ministry has decided to undertake the development of the circulation area at the proposed railway station between Thane and Mulund, which is expected to save around Rs 185 crore funds of the local civic body, officials said on Thursday.

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The promise to develop the circulating area around the new station was made by Railway Minister Ashwini Vaishnaw during a meeting attended by MPs Shrikant Shinde (Kalyan) and Naresh Mhaske (Thane) in Delhi on Wednesday, a release issued by the Thane Municipal Corporation (TMC) said. 

The Ministry of Railways will undertake all works within the circulation area of the new railway station in Thane. 

This decision is expected to save approximately Rs 185 crore funds of the Thane Municipal Corporation (TMC), a release issued by the TMC said. The new station will be developed under the Union government's 'Smart City Mission'. 

The Ministry of Railways will handle the construction within the circulating area and necessary funds will be provided for that purpose, while the TMC will be responsible for the works outside the circulation area, such as decks and ramps, it said. 

The new railway station will be constructed on part of a plot of the Mental Hospital in Thane. 

Minister Vaishnaw also agreed to waive the requirement for a no-objection certificate (NOC) from the railways for works to be carried out outside the circulation area, the release said.