RVNL Emerges L1 for ₹242.5 Crore Railway Electrification Upgrade

NEW DELHI – Rail Vikas Nigam Limited (RVNL) has secured its second major win of the month, emerging as the Lowest Bidder (L1) for a strategic power upgrade contract from South Central Railway. The project, valued at approximately ₹242.50 crore, aims to significantly bolster the traction power capacity on a critical high-traffic corridor.

The announcement, made on January 27, 2026, initially pushed RVNL’s share price up by over 2% in early trade on the following day, reflecting investor confidence in the PSU’s strong execution pipeline.

Technical Upgrade: 1x25kV to 2x25kV System

The core of this project is the sophisticated transformation of the current overhead electrification. The shift to a 2x25kV Auto Transformer (AT) feeding system is a modern requirement for high-density routes.

• Power Transmission: It essentially transmits power at 50kV but feeds the train at 25kV, effectively doubling the transmission capacity without requiring more massive insulation.
• Operational Efficiency: This system allows for significantly greater spacing between Traction Substations (TSS), reduces voltage drops, and minimizes energy losses.
• Heavy Haul Support: It is a prerequisite for Indian Railways’ "Mission 3000MT," enabling the operation of heavier freight trains and high-speed passenger services like the Vande Bharat.

Project Geography and Execution

The upgrade targets the Vijayawada Division, focusing on a stretch that acts as a vital link for South-North rail traffic.

• Section: Ongole (OGL) to Gudur (GDR).
• Distance: 154 Route Kilometers (RKM) / 462 Track Kilometers (TKM).
• Timeline: The project is slated for completion within 24 months.
• Scope: Covers comprehensive design, supply, erection, and commissioning of the OHE, alongside feeder and earthing works.

RVNL’s Expanding Order Book

This win adds to a busy start to the year for the railway PSU. Earlier in January 2026, RVNL secured:

• ₹87.56 Crore project from South Eastern Railway for IP-based Video Surveillance Systems in LHB coaches.
• ₹201.23 Crore contract from East Coast Railway for setting up a wagon workshop in Kantabanji.