France to modernise two stations, manufacture locos in Bihar

France will extend its expertise to modernise Ambala and Ludhiana stations.

France will help modernise Ambala and Ludhiana railway stations and its top company Alstom will manufacture 800 electric locomotives of horse power double than the existing ones in India, involving foreign investment of Rs 1300 crore, according to agreements signed.

The two significant pacts, marking stepped up cooperation in the rail sector, were signed after talks between Prime Minister Narendra Modi and French President Francois Hollande.

Alstom and Indian Railways signed a 'shareholding agreement' for production of 800 electric locomotives at Madhepura in Bihar.

As per the agreement, the Madhepura factory will produce 800 electric locomotives with horse power of 12,000 each over a period of 11 years. The existing strength of electric locomotives is 6,000 horse power (HP).

The project would involve foreign investment of Rs 1,300 crore (Rs 13 billion), considered to be substantial in rail sector. Alstom will be responsible for setting of the factory, manufacturing of the locomotives as well as maintenance.

Railways had decided in November to award the contract to Alstom for Madhepura electric locomotive project.

Production of locomotives with 12,000 horse power would be a quantum leap over the existing 6000 HP locomotives used for freight operations.

Under another agreement, France will extend its expertise to modernise Ambala and Ludhiana stations.

An expert team from France will come and study these two stations and accordingly a roadmap will be finalised based on its report, said a senior Railway Ministry official.