CALCULATE YOUR SIP RETURNS

Indian Railways Inks €62 Million Service Contract with Alstom for Loco Fleet

Written by: Team Angel OneUpdated on: 16 Jan 2026, 5:11 pm IST
Indian Railways has awarded a €62 million contract to Alstom for maintenance of electric freight locomotives under the 2015 supply deal.
Indian-Railways-awards .jpg
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

Indian Railways has awarded a €62 million contract to Alstom for the maintenance of WAG-12B electric freight locomotives.  

The work will be carried out at the Sabarmati locomotive depot in Gujarat. The contract relates to locomotives that are yet to be delivered to Indian Railways. 

Link to 2015 Locomotive Order 

The maintenance agreement covers 300 electric locomotives that are part of the original 800-unit order awarded to Alstom in 2015.  

That earlier contract was valued at €3.5 billion. Deliveries under the supply order are currently ongoing, with the balance units scheduled to be inducted in phases. 

Duration of the Agreement 

The contract will remain in effect until February 2031. It includes both scheduled and unscheduled maintenance activities. These activities for meeting availability and reliability requirements specified by Indian Railways for the WAG-12B fleet. 

Scope of Maintenance 

According to the contract terms, the scope includes material supply, locomotive washing, logistics support and remote diagnostics. Maintenance of essential depot infrastructure at Sabarmati also forms part of the agreement. These services are required for regular operation and monitoring of the electric locomotives. 

Response Teams and Support 

The contract provides for the deployment of prompt response teams at selected locations. These teams will be equipped with specialised tools and critical spare parts. Their role is to attend to faults quickly and limit downtime during operations. 

Training Component 

The agreement also continues Alstom’s skill development programme for Indian Railways employees. As per company data, more than 22,000 railway staff have been trained so far under earlier phases of the programme, covering operations and maintenance-related functions. 

Joint Venture Involvement 

The contract has been secured through Madhepura Electric Locomotive, a joint venture between Alstom and Indian Railways. The joint venture is responsible for manufacturing and maintaining the high-powered electric locomotives supplied under the 2015 order. 

Read More: Railway Sector Recap 2025: Transformation and Milestones Achieved by the Indian Railways! 

Conclusion 

The €62 million contract covers maintenance support for the remaining WAG-12B locomotives under the 2015 supply agreement. The arrangement will remain in place until February 2031. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Jan 16, 2026, 11:41 AM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers