RVNL Wins ₹115.79 Crore Railway Contract

26 Mar 2025 , 12:55 PM

Rail Vikas Nigam Limited (RVNL) has become the L1 bidder for a ₹115.79 crore contract awarded by the Central Railway’s Nagpur division. The contract is for Overhead Equipment (OHE) modification work to convert the existing 1×25 KV electric traction system in the Itarsi-Amla section of the Nagpur division to a 2×25 KV system.

The project is to be executed or completed in a time frame of 24 Months and is aimed to improve upon or bolster the railway infrastructure to handle a target of 3,000 MT of loading.

In another update about the Project Implementation Agency (PIA) agreement: last month, RVNL signed the Project implementation agency agreement with Bharat Sanchar Nigam Ltd (BSNL) along with HFCL Ltd and Aerial Telecom Solutions Pvt Ltd.

The partnership centers around developing, upgrading, operating and maintaining BharatNet’s middle-mile network, a government initiative intended to expand broadband connectivity throughout India. The consortium won the BharatNet project at the lowest bid, with a contract of about ₹13,253 crore.

The contract comprises a construction period of three years, followed by a 10-year period for maintenance to facilitate sustained operational efficiency. The maintenance fee has been fixed at 5.5% of capital expenditure in the first five years, and 0.5% raise every year for next five years to reach to 6.5% annually.

This project it falls as an integral part of the BharatNet growth assignment aiming to supply high-speed web connectivity within the rural and far off areas and awiding the virtual India project. It is anticipated that the outcome of the project will improve digital infrastructure such as digital delivery, broadband accessibility, and will lead to economic growth and digital inclusion in underprivileged areas.