Indian Railways (IR), the largest network in Asia and fourth-largest in the world is on the cusp with the adoption of advanced technologies, sustainable models and large-scale operations. With approximately 123,542 km of total tracks, about 7,300 stations – the railway infrastructure provides employment opportunities to almost 1.2 million people. 2023 has been a game changing year for Indian Railway, not only first indigenously manufactured high-speed train – Vande Bharat Express was launched but also IR is aiming to complete the manufacturing of India’s first Hydrogen train developed fully in India.

India has witnessed exponential growth and is expected to become the third- largest economy in the world by 2030. The Indian Railways play a significant role in boosting and developing various industries along with facilitating the mobility of millions. Ashwini Vaishnaw the Railway Minister, has emphasised the substantial and crucial infrastructure needs of the railways. He has stressed that India must allocate a significantly higher amount of funds to the railways, around ₹3 lakh crore consistently, to meet the expectations of the citizens and reduce the burdensome logistics expenses. He has also pointed out that in comparison, other competitive economies have consistently invested approximately ₹9 lakh crore in the railways over the past 30 years.

The Indian government is already on a run to set up an effective, efficient and robust rail infrastructure with free flow of information and technology among the various stakeholders. “Start -Ups for Railways” introduced by the minister of Railway is a step ahead to build a resilient system. This initiative is designed to provide financial support to Indian startups, MSMEs, entrepreneurs, and innovators to foster the creation of advanced products and affordable solutions. Additionally, the ministry has introduced an official website and issued 11 challenges to encourage startups in devising inventive answers. The policy’s objective is to harness cutting-edge technologies developed by emerging Indian entrepreneurs to enhance operational efficiency and safety measures. The ministry’s goal is to tackle issues related to the quality, reliability, and maintenance of the Indian Railways.

‘Indian Railway Innovation Policy’ — A Commitment Towards Rail Innovations

With a focus on ‘Co-creation and Co-innovation’ in the railway sector, IR introduced ‘Indian Railways Innovation Policy’ (IRP). Under this policy, Indian Railways is committed to investing in startups, enabling them to directly source innovations from these startups. The funding arrangement will be based on a cost-sharing model, with both Indian Railways and innovators contributing equally, with a 50:50 ratio. Indian Railways has set a maximum limit of Rs 1.5 crore as seed money to support innovative technological solutions aimed at transforming the Indian rail network. After validating the proof of concept, Indian Railways will see these ideas through to the development of actual products. The annual budget allocated for this policy is expected to be approximately Rs 40-50 crore, and additional funds will be provided to divisional railway managers to facilitate on-field problem-solving. Importantly, the intellectual property rights (IPR) will remain with the innovator.

The Indian Railway Innovation Policy (IRP) is poised to become a pioneering force in driving innovation within the Indian railway sector in the years ahead. Additionally, Indian Railways is actively seeking private sector participation in the development and operation of new bullet train projects through a Public- Private Partnership (PPP) framework. These upcoming projects are estimated to have a total cost of approximately US$ 121 billion (Rs 10 trillion). Furthermore, in a bid to enhance innovation and enhance operations, maintenance, and infrastructure, Indian Railways intends to make an annual investment of over US$ 6.09 million.

From the implementation of the Real-Time Train Information System (RTIS) to the development of the Future Railway Mobile Communications System (FRMCS) and the utilisation of Ultrasonic Flaw Detection (USFD), the Indian railway is leaving no stone unturned in its pursuit of creating the most innovative and advanced railway network. In the near future, travellers will also have the opportunity to witness the inauguration of India’s inaugural Vertical Lift Railway Sea Bridge – the New Pamban Bridge. This railway bridge, spanning a length of 2.07 km, is currently under construction and will connect the town of Mandapam on the Indian mainland with Rameswaram on Pamban Island. Anticipated to be completed in 2023, it represents a significant engineering feat.

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Moreover, Indian Railways has introduced a cost-effective safety technology called Kavach, which has been certified at Safety Integrity Level 4 (SIL-4). Successful trials of this technology have been conducted on the railway stretch between Gullaguda and Chitgidda Railway stations in the South Central Railway region. Additionally, the government has ambitious plans to implement Kavach across a network spanning 34,000 kilometres, with a target of covering 2,000 kilometres in the fiscal year 2022-23.

Projects Attracting Private Capital for Railways

Across the globe, the railway sector has successfully drawn in private capital using a variety of approaches. Firstly, the private sector has played a pivotal role in providing specific rail services or assets, with rolling stock being a prime example. Secondly, public-private partnerships have been established to foster collaboration between government entities and private investors, facilitating railway infrastructure development and operation. Thirdly, the railway sector has harnessed the commercial value of its assets, strategically leveraging the increased land value in the vicinity of railway stations. These multifaceted mechanisms have proven effective in attracting private investment and driving advancements in the railway industry worldwide.

Indian Railways is actively working on projects aimed at attracting private investment, and one of the most significant projects in the northern region is the Chenab River Railway Bridge. Located in Jammu and Kashmir, this bridge is set to become the world’s highest single-arch railway bridge. The construction of the Chenab River Railway Bridge is a collaborative effort involving Afcons Infrastructure (India), VSL India, and Ultra Construction & Engineering Company from South Korea. This milestone project, with a budget of $9.2 crore, spans a length of 1.3 kilometres and holds the promise of connecting the Kashmir Valley to the rest of India through an extensive rail network. Importantly, this bridge is an integral part of the larger Udhampur- Srinagar-Baramulla rail link project, marking a significant step toward enhancing railway connectivity to Kashmir.

In the northeastern region of India, Indian Railways is actively engaged in large-scale projects aimed at bridging the connectivity gaps. One such significant undertaking is the Bairabi- Sairang New Line Railway Project, which is instrumental in establishing a crucial link between Mizoram and the rest of the country. Additionally, projects like Bhalukpong-Tawang are designed to address the substantial transportation requirements of the military in this region, particularly in light of escalating tensions with China. The proposed railway line in this area will involve the construction of numerous tunnels and will be situated at altitudes exceeding 10,000 feet, making it a challenging yet strategically vital initiative. These projects are not only connecting the last miles and also attracting huge capex for the private sector.

Major Developments in India’s Railway Sector

In recent years, India’s railway and highway sectors have experienced a massive influx of funds, surpassing `10 lakh crore over the past five years. This financial boost has spurred both sectors to explore novel funding models, reducing their reliance on budget allocations. A significant shift is evident in the allocation for highways and railways, which has climbed from 35% in FY18 to 43% in FY23, with `3,24,844 crore out of a total capital expenditure of `7,50,000 crore now dedicated to these critical transportation domains.

One of the focal points of this substantial allocation is the significant investment in upgrading ageing railway tracks. This initiative aims to expedite train services and introduce high-speed trains to more destinations. A substantial `17,296 crore has been set aside for track renewal, while the broader railway budget allocates `39,660 crore for new railway lines,`30,749 crore for doubling existing tracks, and `4,600 crore for gauge conversion.

In the quest for eco-friendly rail travel, India is diligently working on the development of its first domestically created hydrogen train, scheduled for completion by December 2023. These hydrogen trains will initially operate on heritage routes like the Kalka-Shimla railway section, with plans to introduce 35 new hydrogen trains within the next three years, contributing to a more sustainable future.

The Indian Railways is also committed to harnessing green energy and intends to establish Ultra Mega Solar Plants. This move underscores the railway’s ambition to achieve zero carbon emissions and reduce pollution through widespread rail electrification.

Promoting tourism is another key aspect of Indian Railways’ agenda, with plans to manufacture an additional 100 Vistadome coaches and introduce new circuits for tourists. Furthermore, the railway sector is gearing up for high- speed rail projects, including the commencement of the bullet train project in Maharashtra and the introduction of 500 Vande Bharat trains within the next three years. The concept of Vande Metro trains, covering a radius of 50-60 kilometers, is also under consideration. Indian Railways aims to manufacture 4,500 newly designed automobile carrier coaches with side entry, 5,000 LHB coaches, and a staggering 58,000 wagons.

To expand rail connectivity into remote and underserved areas, Indian Railways is establishing various corridors, such as Tribal Corridors, Social Corridors, Hill Corridors, Port Corridors, and Energy Corridors. These corridors will extend railway services to regions previously untouched by rail networks.

In tandem with these initiatives, the modernization and technological advancement of railway stations are a priority. Under the Amrit Bharat Station Scheme, 1,275 stations are slated for modernization. Additionally, substantial allocations of `8,000 crore for Rail Over Bridge and Rail Under Bridge projects and `1,255 crore for other bridge constructions reflect the commitment to enhancing railway infrastructure.

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The Indian railway sector is on the track of a remarkable transformation, with visionary developments and investments. These endeavours aim not only to enhance connectivity but also to make rail travel safer, more efficient, and eco-friendly, ensuring a brighter future for India’s transportation infrastructure.

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