×
Home Companies Industry Politics Money Opinion LoungeMultimedia Science Education Sports TechnologyConsumerSpecialsMint on Sunday
×

Railways to go in for JV in locos, coaches

Railways to go in for JV in locos, coaches
Comment E-mail Print Share
First Published: Wed, Aug 29 2007. 10 20 AM IST
Updated: Wed, Aug 29 2007. 10 20 AM IST
PTI
New Delhi: Public Private Participation is the latest mantra for Indian Railways. After encouraging private players in passenger related non-core areas such as catering, cleaning, parcel service, budget hotels and food plazas, railways have decided to opt for the PPP model in manufacturing state-of-the-art locomotives and coaches.
“There is a growing need for new and advanced locomotives and coaches. With sustained economic growth and resultant demand for rail transport, requirement of locomotives and coaches has increased manifold. There is considerable gap between requirement and supply of rolling stock. To plug this gap a decision has been taken to set up three manufacturing units - one each for diesel locomotive, electric locomotive and coach,” said a senior Railway Ministry official.
Units will be developed on a PPP model at an estimated cost of Rs 3000 crore. Railways would offer 74% equity to private players in all the three proposed joint ventures.
While diesel locomotive unit would be set up at Marora, an electric locomotive unit and a coach factory would come up at Madhepura (Bihar) and Rae Bareli (Uttar Pradesh).
The locomotives to be manufactured in the units would be equipped with the latest technology capable of hauling longer and heavier trains. The new coach factory is also expected to produce high capacity coaches.
Shortlisting process has already begun to be followed with the bidding and selection procedure, said the official.
Comment E-mail Print Share
First Published: Wed, Aug 29 2007. 10 20 AM IST
More Topics: Indian Railways | PPP | locos | coaches | JV |