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REMCL Wins Contract from Indian Railways to Set up 3 GW Solar Plants

RITES’ subsidiary Railway Energy Management Company (REMCL) has secured contract from the Indian Railways.

 

The scope of work involves handling tendering, installation, supervision and managing power supply from three GW solar power plants to be set up on vacant Indian Railway land.

 

The project will be divided into three phases of one GW each. Phase-I and-III of one GW each will be on PPP basis under design, build, finance, operate and transfer model.

 

Phase-II of the project (one GW) will be on ownership model of REMCL, which will be eligible for capital subsidy under the Central Public Sector Enterprises (CPSE) investment scheme. The Indian Railways has already identified suitable land to be leased to REMCL on nominal lease rent.

 

Besides bid management fee in the beginning, REMCL will earn long term revenue through supply management from these installations which may amount to approximately Rs 20 crore per year to REMCL during life of the project. The entire installation is expected to be completed by 2022-23.

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