Private train operations: GMR, L&T, Welspun to participate in RFP

The private investment of Rs 300 billion is envisaged for running passenger trains over the rail network for the first time. 

A two-stage transparent, competitive bidding process comprising a request for qualification (RFQ) and request for proposal (RFP) will be arranged to select the private entities for undertaking the project. 

The RFQ for 12 clusters were published on 1 July 2020, while the applications were opened on October 7, 2020. The ministry has received an excellent response. In total, 120 applications have been received for the 12 clusters, from 16 firms. 

The Ministry of Railways (MoR) said that they have completed the evaluation of applications. While the total number of applications received was 120, 102 applications were found eligible to participate in the RFP stage, the statement added. 

The firms which applied for the clusters include 

• Construcciones y Auxiliar de Ferrocarriles

• Arvind Aviation

• BHEL

• S.A

• Cube Highways

• Gateway Rail Freight Limited

• Infrastructure III Pvt Ltd.

• Indian Railway Catering and Tourism Corporation Ltd

• L&T Infrastructure Development Projects Ltd

• GMR Highways Ltd

• IRB Infrastructure Developers Ltd

• Malempati Power Private Ltd

With high revenue and footfall, firms showed the most interest in Mumbai and Delhi clusters. 

While applications received from 19 firms each have been found eligible for two Delhi and Mumbai clusters, five applicants were found suitable for Chandigarh and Chennai clusters. 

Nine applicants were eligible for Jaipur, Secunderabad, and Prayagraj clusters respectively, while Bengaluru, Patna, and Howrah clusters had eight eligible applicants each. According to internal projection, the Indian railways plans to start private train operations by March 2023, with 12 trains. The Ministry of Railways plans to bring in 151 such services.