DELHI: Union Government has approved setting up of two Rail Engine Factory in growing state Bihar. These Rail Engine Factories will have capacity to make 800 electric locomotives of 12,000 HP each and a mix of 1,000 diesel locomotives of 4,500 and 6,000 HP over 10 years for Indian Railway.
Railways will setup an Electric Engine Factory at Madhepura and Diesel Locomotive Factory at Marhowrah in Bihar. Approval of factory was given to start afresh the bidding processes for the upcoming railway factory. The estimated investment for establishing the Electric Locomotive Factory and Diesel Locomotive Factory, are Rs 1293.57 crore and Rs 2052.58 crore rupees respectively with limited equity contribution by Ministry of Railways.
The two projects are to be set up in JV with locomotive manufacturers to be found by the International Competitive Bidding the bids are to be finalized within 90 days of receipt of Cabinet approval.
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