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Railways cancels orders for 100 semi-high speed vans in India, know the reason

The Vande Bharat Yojana has suffered a major blow as the Railways canceled this tender. Railways took the contract to build 100 Vande Bharat trains for 30 thousand crore rupees. Several companies submitted bids for this and talks with French company Alstom India reached the final stage.
2 Month ago

Many semi-high speed trains of Vande Bharat Trains are running in many parts of the country. But the plan to run Vande Bharat trains on all long routes of the country has suffered a major blow. In fact, the government has canceled the Rs 30 thousand crore contract to build Vande Bharat Express trains.

Under this scheme it was targeted to build 100 Vande Bharat trains. But, the Indian Railways canceled the contract before the tender was completed. In such a situation, the pace of completion of the plan has come to a halt.

30 thousand crore rupees is the case

The Vande Bharat Yojana has suffered a major blow as the Railways canceled this tender. Railways took the contract to build 100 Vande Bharat trains for 30 thousand crore rupees. Several companies submitted bids for this and talks with French company Alstom India reached the final stage. Later, there was no agreement between the two regarding the money and the Railways has now withdrawn the tender.

Oliver Lewison, MD of Alstom India, the company that negotiated the tender to build Vande Bharat, told Moneycontrol that there was a problem with the money offered in the tender. There was talk of making an aluminum bodied Vande Bharat train, but Indian Railways canceled its tender. We could have considered reducing this price in future, but the railway itself canceled the tender.

The deal stops here

Railway officials say that the French side had demanded Rs 150.9 crore per tonne for the tender price. This was a very high price and we talked about bringing it up to Rs 140 crore. However, under pressure from the Railways, Alstom paid Rs. He also talked about finalizing the deal for 145 crores. The company talked about finishing it for Rs 30 thousand crore and promised to make 100 Vande Bharat racks for the same price. Earlier, the tender to make each wagon of Vande Bharat sleeper train for Rs 120 crore has also been finalized.

A railway official said that the cancellation of this tender will help the railways to determine its price. Also, the bidding companies will have an opportunity to understand their projects and offers. Next time we will also include more companies in the tender, so that if the competition increases, the cost will come down. This time only two bidders participated. Under the tender, 13 thousand crore rupees were to be paid on the delivery of the rack and 17 thousand crore rupees will be given for its maintenance in the next 35 years. 

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