Siemens, a leading manufacturer of capital goods, announced on Monday that it has signed a contract worth Rs 26,000 crore to produce 1,200 electric freight locomotives for the Indian Railways.
The contract, which will be used for freight transportation, is Siemens’s single-largest order. According to the company, the locomotives are designed to move loads weighing 4,500 tonnes at a top speed of 120 km/h.
Sunil Mathur, Managing Director and Chief Executive Officer, Siemens, said, “The 9000 horse power (HP) electric locomotive is a significant milestone in the rail electrification mission of Indian Railways. We will build these in India using the technology provided by Siemens Mobility.”
A 35-year full-service maintenance agreement is included in the contract, and deliveries are scheduled over an 11-year period. According to the company, the locomotives would be put together at the Indian Railways workshop in Dahod, Gujarat.
On the other hand, maintenance will be carried out at the depots of Indian Railways in Visakhapatnam, Raipur, Kharagpur, and Pune. The Indian Railways crew will assist in assembly and maintenance.
On Monday, the BSE closed trading for the Siemens shares at Rs 2,943.60 per share, down 0.81 percent from the previous day’s close. The BSE’s Siemens stock has increased by around 24% over the past year. The benchmark BSE Sensex, in contrast, has decreased by around 2% over the same time period.
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