Newsletter
Rail Vikas Nigam (RVNL) shares moved up after the company received an approval letter for a new Southern Railway project worth ₹145.3 crore.
What’s the deal: RVNL will set up and get running the power systems that help electric trains operate smoothly on the Jolarpettai-Salem route in the Salem Division.
The Jolarpettai-Salem route is in Tamil Nadu, in Southern Railway’s Salem Division. It connects Jolarpettai Junction (near Tirupattur/Vellore region) to Salem.
This includes building traction substations, adding equipment that keeps the power supply stable, setting up control and monitoring systems, and installing tools that quickly detect faults if something goes wrong.
It also supports Indian Railways’ larger push to increase freight movement under its Mission 3000 MT plan.
Big picture: Indian Railways has already moved 1,465.371 million tonnes of freight so far in FY25, which is higher than the 1,443.166 million tonnes it carried in the entire FY24.
Freight is also where most of Railways’ money comes from, bringing in nearly 65% of total revenue. And a large chunk of this comes from everyday bulk goods, especially coal, iron ore, and cement, which together make up over 60% of freight volumes and earnings.
