Lok Sabha Question No. 13 (STARRED), answered on 2018-07-18
Subject: Marhowra Diesel Locomotive Factory
Ministry: RAILWAYS
Asked by: RAJIV PRATAP RUDY

## GOVERNMENT OF INDIA MINISTRY OF RAILWAYS

## LOK  SABHA STARRED QUESTION NO. 13 TO BE ANSWERED ON 18.07.2018

## MARHOWRA DIESEL LOCOMOTIVE FACTORY

- *13.  SHRI  RAJIV PRATAP RUDY:

Will the Minister of RAILWAYS be pleased to state:

- (a)  the  details  of  the  Marhowra  (Saran,  Bihar)  diesel  locomotive manufacturing  factory/project  including  the  progress  made  so  far, the date of completion of the factory/project along with the expenditure  incurred  over  the  years  and the  future  estimated expenditure ;
- (b)  the  number  of  diesel  locomotives  and  the  time  frame  for manufacturing these diesel locomotives at the Marhowra factory;
- (c) the number of diesel locomotives that have been imported over the last 10 years, year-wise along with expenditure incurred thereon; and
- (d)  the  details  of  production  units  for  diesel  locomotives  in  the country  along with their output/capacity utilisation during the last five years, year-wise?

## ANSWER

MINISTER OF RAILWAYS, COAL, FINANCE AND CORPORATE AFFAIRS (SHRI PIYUSH GOYAL)

- (a) to (d): A Statement is laid on the Table of the House.

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STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (d)  OF STARRED QUESTION NO. 13 BY SHRI RAJIV PRATAP RUDY TO BE ANSWERED IN LOK  SABHA ON 18.07.2018 REGARDING MARHOWRA DIESEL LOCOMOTIVE FACTORY

- (a)  and  (b)  The  contract  agreement  was  signed  on  30.11.2015 between  Ministry  of  Railways  and  GE  Diesel  Locomotive  Private Limited  (GEDLPL),  a  Joint  Venture  (JV)  company  of  Ministry  of Railways (26% equity participation  limited  to ₹ 100  crore)  and  GE Global Sourcing India Pvt. Ltd. (74% equity participation) for setting up Diesel Locomotive Factory at Marhowra, Saran District in Bihar and  Procurement  and  Maintenance  of  Mainline  Diesel  Electric Locomotives.

This  agreement  is  for  procurement  of  diesel  locomotives  which would  be  better  than  conventionally  used  diesel  locomotives  in terms of impact on environment, fuel efficiency and higher reliability.  Further,  this  will  also  give  boost  to  Make  in  India programme.

- (1)
- Scope of Project:
- (i) Construction  of  Diesel  Locomotive  Factory  with  capacity  to manufacture  120  Locomotives  per  annum  at  Marhowra  in Bihar. Target date of completion is February, 2019.
- (ii) Supply of Locomotives: The company is required to supply   1000 high horsepower Diesel Locomotives (700 Locomotives of

4500 horsepower and 300 Locomotives of 6000 horsepower) to Indian  Railways  over  a  period  of  11  years  commencing  from 2017-18 as per following supply schedule:

| Year    | Number of locomotives to be supplied   | Number of locomotives to be supplied   | Number of locomotives to be supplied   |
|---------|----------------------------------------|----------------------------------------|----------------------------------------|
|         | 4500 horsepower                        | 6000 horse power                       | Total                                  |
| 2017-18 | 2                                      | -                                      | 2                                      |
| 2018-19 | 96                                     | 2                                      | 98                                     |
| 2019-20 | 85                                     | 15                                     | 100                                    |
| 2020-21 | 80                                     | 20                                     | 100                                    |
| 2021-22 | 75                                     | 25                                     | 100                                    |
| 2022-23 | 70                                     | 30                                     | 100                                    |
| 2023-24 | 60                                     | 40                                     | 100                                    |
| 2024-25 | 60                                     | 40                                     | 100                                    |
| 2025-26 | 60                                     | 40                                     | 100                                    |
| 2026-27 | 57                                     | 43                                     | 100                                    |
| 2027-28 | 55                                     | 45                                     | 100                                    |
| Total   | 700                                    | 300                                    | 1000                                   |

Upto  100  locomotives  to  be  supplied  during  1 st   two  years  may  be imported, remaining locomotives have to be manufactured at Marhowra factory.

- (iii) Maintenance  of  Locomotives:  Company  has  to  maintain  first 250 locomotives for a period of 9 years and next 250 locomotives for a period of 4 years.
- (iv) Construction  of  two  maintenance  Depots:  One  Depot  to  be constructed at Roza  in Uttar Pradesh  to undertake maintenance of first 250 locomotives and another Depot at Gandhidham  in Gujrat to undertake  maintenance  of  next  250  locomotives.  Target  date  of completion Roza  depot is February, 2018  and  target date of completion of Gandhidham Depot is February, 2020.

## (2)

## Status:

-  Construction of the factory: As per schedule.
-  Supply of locomotives: Two prototype locomotives have been supplied in February, 2018 as per schedule which are currently undergoing Test & Trials.
-  Construction of Maintenance Depots is as per schedule. First phase of Depot at Roza is ready.

## (3) Expenditure:

Indian  Railways  has  till  date  incurred  expenditure  of ₹ 189 crore for acquiring land, providing power  supply  and  rail/road connectivity for the Marhowra factory.

GE  Diesel  Locomotive  Private  Limited  has  till  date  incurred 155 crore on Roza expenditure of ₹ 540 crore on the Factory and ₹ depot. Further, future  estimated  expenditure  by  GE  Diesel

Locomotive Private Limited is about ₹ 160 crore on the Factory and ₹ 155 crore on the Roza Depot.

- (c) Other  than  the  two  locomotives  received  against  Marhowra project, no diesel locomotives have been imported in past 10 years.
- (d) There are two Production Units manufacturing diesel locomotives under Ministry of Railways. Their output/capacity utilization during last five years is as under:

|          | Diesel Locomotive Works (DLW), Varanasi   | Diesel Locomotive Works (DLW), Varanasi   | Diesel Locomotive Works (DLW), Varanasi   | Diesel Moderanisation Works (DMW), Patiala   | Diesel Moderanisation Works (DMW), Patiala   | Diesel Moderanisation Works (DMW), Patiala     |
|----------|-------------------------------------------|-------------------------------------------|-------------------------------------------|----------------------------------------------|----------------------------------------------|------------------------------------------------|
|          | Output                                    | Output                                    | Capacity - 200 locomoti ves               | Output                                       | Output                                       | Capacity - 72 locomotives Capacity Utilization |
| Year     | Diesel Loco- motives                      | Electric Loco- motives                    | Capacity Utilization                      | Diesel Loco- motive (Rebuilding & New)       | Electric Loco- motives                       |                                                |
| 2013 -14 | 304                                       | -                                         | 152%                                      | 156                                          | -                                            | 216%                                           |
| 2014 -15 | 266                                       | -                                         | 133%                                      | 149                                          | -                                            | 207%                                           |
| 2015 -16 | 330                                       | -                                         | 165%                                      | 126                                          | -                                            | 175%                                           |
| 2016 -17 | 332                                       | 2                                         | 167%                                      | 146                                          | -                                            | 202%                                           |
| 2017 -18 | 296                                       | 25                                        | 161%                                      | 118                                          | 2                                            | 167%                                           |

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