Railways invites tenders for coach factories

Railways invites tenders for coach factories

New Delhi: The Indian railways has invited tenders for setting up electric locomotive component factories as well as an ancillary unit for the Chittaranjan Locomotive Works in West Bengal, under the public private partnership route.

Mint had reported in its 21 September issue that an expert committee set up by the railways had suggested that the railways offer the planned component factories to private companies and to offer assured off take of components over a specific time frame.

Under the terms of the deal, the railways would procure components for a 100 locomotives every year for ten years. It has also separately invited bids from consultants to help draft the procurement contracts that would govern these projects as well as assist in the bid process.

In keeping with its decision to go ahead with the proposed coach factory in Rae Bareilly in Uttar Pradesh, the railways has also invited bids from consultants to help set up the factory as well as a township for its employees under the engineering procurement and construction, or EPC mode.

In EPC contracts, the contractor merely develops the project for a specified fee, without having any equity stake or running the factory.

The national transporter has also invited interest from companies for operating and maintaining the ‘super specialty wing’ of its central hospital in Patna, Bihar.