GE’s diesel locomotive unit in Bihar on track, says Goyal
NEW DELHI: Railways minister Piyush Goyal on Thursday said work on the Marhaura diesel locomotive project in Bihar is on track and that the government would abide by its contract with General Electric Co. (GE).
His comments came after the company issued a strongly worded statement on Monday saying any decision to scrap the project would have a “serious impact on job creation and skills development and cause the government to incur substantial costs”. The statement also said the first of the locomotives had been shipped from the US and were scheduled to arrive in India on October 10.
That statement, covered widely in the media, seems to have prompted the press conference addressed by Goyal on Thursday. “The Marhaura factory is being set up and it’s on track. I don’t see any change happening. In fact, their (GE’s) South Asia head and India head had met me about five-six days back and they asked Ghanshyam Singh (railway board member) to send people for inspection,” said Goyal.
Supplementing the railway minister’s statement, minister of state for railways Manoj Sinha said, “It’s a cabinet decision and we are committed to it.” Both ministers said that a diesel locomotive manufacturing facility can, if required, be upgraded to make electric locomotives. Goyal said that if Indian Railways’ requirements change, GE will be informed about it.
Sinha added that Indian Railways’ Diesel Locomotive Works (DLW) at Varanasi makes both diesel and electric locomotives. Although the ministers claimed that Indian Railways has resolved the issue with GE, there are still some unanswered questions.
The Marhaura diesel locomotive factory in Bihar was approved in 2014 when the Congress-led United Progressive Alliance (UPA) was in power but was finally signed off on by the National Democratic Alliance government when Suresh Prabhu was the railways minister.