INDIA: Indian Railways and Alstom have failed to agree a deal for the supply and maintenance of 100 Vande Bharat 4.0 electric trainsets with aluminium bodies offering a lighter weight than the stainless steel of previous Vande Bharat designs.
A replacement call for tenders is now planned, with the aim of attracting more bidders.
Unlike the earlier models which have only seats, the 16-car fixed-formation trainsets with distributed power are intended to have sleeping car accommodation for use on long-distance overnight services.
IR received only two bids in response to its initial call for tenders, which required suppliers to produce a prototype and then assemble at least five trainsets per year. A separate contract for the supplier to undertake long-term maintenance was envisaged.
Alstom India’s proposal was priced at Rs1·51bn per trainset, beating a rival bid of Rs1·69bn submitted by a consortium of Stadler and Hyderabad-based Medha Servo Drives. Alstom was confirmed as low bidder in June 2023, but the price was considered too high. IR had been looking to pay around Rs1·40bn per train, while the manufacturer is reported to have offered a minimum of Rs1·45bn during negotiations.
Globally competitive
‘Alstom’s offer for the 100 aluminium EMUs was a very competitive offer, and the lowest when benchmarked against similar trains produced globally’, the manufacturer told Railway Gazette International.
‘With a 220 km/h design speed, the manufacturing of these state-of-the-art aluminium trains requires substantial initial investment in the product design, being the first such product for the Indian market. It also involves the creation of a local supply chain and ecosystem to make India completely self-reliant in the production of such trains in line with the Make in India vision.
‘While being the lowest bidder, Alstom worked on Indian Railways’ request to further optimise its offer. Alstom strongly believes that aluminium-based trains will lead India into the future of efficient and sustainable rail mobility.
‘With its strong local knowledge and its investments in industrial and human capital over the years, the company is well-positioned and committed to support the realisation of this vision. Alstom is already advanced in the development of this product for the Indian market which promises the nation a highly safe, comfortable, efficient and reliable passenger train and looks forward to any new tenders that may come up in this space.’