Order Win / EPC Contract
RVNL Emerges as Lowest Bidder for ₹129.46 Crore North Eastern Railway Electrification Project
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Rail Vikas Nigam Limited (RVNL) has emerged as the Lowest Bidder (L1) for a North Eastern Railway electrification project involving traction substations and switching posts in the Varanasi-Prayagraj section. The EPC contract value stands at approximately ₹129.46 crore with execution timeline of 730 days.
PRICE-SENSITIVE TRIGGER
Event: RVNL declared Lowest Bidder (L1) for railway electrification EPC project
Type: Order Win / EPC Contract
Impact: Positive
Immediate Effect: The order strengthens RVNL’s railway electrification order pipeline and supports revenue visibility in the infrastructure EPC segment.
Key Metrics:
- Order Value: ₹129.46 crore
- Execution Timeline: 730 days
- Project Type: EPC Railway Electrification Project
- Traction Capacity: 2×25 KV AT traction feeding system
- Project Location: Varanasi-Prayagraj section, North Eastern Railway
Highlight Metric:
- RVNL secured L1 position for a ₹129.46 crore railway electrification capacity upgradation project from North Eastern Railway.
What Happened ?
Rail Vikas Nigam Limited informed exchanges that it has emerged as the Lowest Bidder (L1) from North Eastern Railway for a project related to design, supply, erection, testing, and commissioning of traction substations and associated switching posts.
The project involves capacity upgradation of electric traction power supply installations in the Varanasi-Prayagraj section of the Varanasi Division under North Eastern Railway on EPC mode.
The company stated that the order falls under the normal course of business operations.
Key Details
Project Scope:
- Design, supply, erection, testing and commissioning of traction substations.
- Installation of associated switching posts for 2×25 KV AT traction feeding system.
- Capacity upgradation of electric traction infrastructure.
Contract Information:
- Awarding Entity: North Eastern Railway
- Nature of Contract: EPC Contract
- Entity Type: Domestic
- Tender Reference: EPC-PSI-BSB-PRYJ_NER
Execution Timeline:
- Total completion period is 730 days from commencement.
Order Value:
- Total contract consideration stands at ₹129,46,26,109.47 including applicable taxes.
Note:
- The project is related to railway electrification infrastructure modernization and capacity enhancement in Uttar Pradesh railway network.
Risk Analysis
Key Risks:
- Long execution cycle of 730 days.
- Cost escalation risks during execution.
- Dependence on railway infrastructure approvals and coordination.
- Working capital intensity typical in EPC projects.
Worst Case Scenario:
- Delay in project execution or margin pressure due to rising input costs may affect profitability realization from the project.
Risk Level: Medium
Company Commentary
- RVNL confirmed it emerged as Lowest Bidder (L1) from North Eastern Railway.
- The project is being executed under EPC mode.
- Management stated the order is received during the normal course of business.
Official Exchange Filing: Rail Vikas Nigam Limited