Bombardier, Hitachi, Siemens in fray for railway signalling tender

Global technology players such as Bombardier, Hitachi Rail STS, and Siemens are in the race for a tender floated by Railtel Enterprises (REL) to modernise the national transporter’s signalling system. Though Railtel’s arm hasn’t mentioned the size of the tender, it is expected to be worth ~1,000-1,500 crore.

The firm that wins the tender will help the Indian Railways upgrade to European Train Control System (ETCS) Level-2, a system wherein radio waves are used to help in train spacing. The continuous updating of movement will ensure better safety, improved speed and line capacity as compared to ETCS Level-1.

ETCS Level-1 technology has already been implemented on 345 route kms (200 route kms Delhi-agra section, 117 route kms Chennai Suburban section, and 28 route kms of Kolkata Metro railway). Now, the plan is to implement ETCS Level-2 on the entire broad gauge network of 60,000 route kms. In the first phase, Level-2 technology would be used on a trial basis in four sections — Renigunta-Yerraguntla (165 route kms), Vizianagaram-palasa (145 route kms), Jhansi-bina (155 route kms), and Nagpur-badnera section (175 route kms).

A source from one of the companies that participated in the tender said: “The companies that submitted bids for the 5G signalling tender are Bombardier, Siemens, and Hitachi Rail STS. The result of the tender, delayed due to the Covid-19 pandemic, is expected to be announced soon.”

Another source said at least four firms participated in the tender and all of them are members of UNISIG, an industrial consortium created to develop ETCS technical specifications. The eight members of UNISIG include Alstom, A D Praha, Bombardier, CAF, Hitachi Rail STS, MERMEC, Siemens, and Thales.

Puneet Chawla, chairman and managing director of Railtel, said: “We have already evaluated the technical bids. The financial bids have been opened and are under evaluation.” Chawla said new signalling systems like Train Collision Avoidance System and ETCS are expected to see investments to the tune of ~20,000 crore.

For this modernisation as well as to enhance allied services, the railways needs 5MHZ of spectrum in the prime 700 MHZ band. The department of telecommunications is already in the final stages of allotting 5 MHZ premium spectrum to it that may cost ~35,000-40,000 crore at the base price.

The Telecom Regulatory Authority of India had recommended the railways be given 5MHZ of spectrum in the 700 MHZ frequency band free of cost for its captive use to offer services like public safety and security, but it said the spectrum can’t be used for commercial purposes.