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RVNL received an order of Rs 143.3 crore from South Central Railway to upgrade the electric traction system

by Aaryan Srivastav
July 5, 2025
आरवीएनएल को इलेक्ट्रिक ट्रैक्शन सिस्टम को अपग्रेड करने के लिए दक्षिण मध्य रेलवे से 143.3 करोड़ रुपए का ऑर्डर मिला

New Delhi, 5 July (IANS). Public sector undertakings Rail Development Corporation Limited (RVNL) under the Ministry of Railways announced on Saturday that the company has signed a letter of agreement (LOA) for a new contract of Rs 143.3 crore with South Central Railway.

The project involves upgrading the electric traction system in Salem Division of Southern Railway.

The company said in the stock exchange filing, “Rail Development Corporation Limited has received LOA from Southern Railway for upgradation work of electric traction systems.”

Especially Salem Junction – Podanur Junction and Irugur – Coimbatore Junction – Convert the existing 1×25 KV traction system to more advanced 2×25 KV system on Podanur Junction section.

According to the filing, upgradation will help Southern Railway to increase its capacity and meet the target of 3,000 metric tonnes of freight.

The company said in its filing, “This project will be completed in a period of 24 months and includes implementing Rs 143.3 crore.”

The announcement of RVNL has been reported on June 30 as the lowest bidding company for another railway project of South Central Railway reported on June 30.

Despite the relatively low performance so far in FY 2025, the company has confirmed its revenue guidance of Rs 20,000-22,000 crore for the current financial year.

RVNL shares remained stable at Rs 391.2 per share on the National Stock Exchange (NSE) on Friday.

The company continues to maintain strong speed with its diverse project portfolio, including construction of new railway lines, dabbling, electrification, metro projects, major and cable-sted bridges and institutional infrastructure.

Meanwhile, taking strategic steps towards clean energy and sustainability, RVNL is also exploring the possibility of partnership in the nuclear power sector.

In June, media reports stated that the company is negotiating with Russia-owned nuclear power company Rosatom to form a small modular reactor (SMR) for its current Mega Infrastructure Projects, such as Rishikesh-Karnprayag railway line.

-IANS

SKT/

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