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Indian Railways to plug into National Power Grid

Will source power directly from the latter to cut costs, improve operations

Shine Jacob & Shreya Jai  |  New Delhi 

To get reliable power supply and also cut purchase cost, Indian Railways (IR) is mulling options to buy power directly from the national grid. For this, Railways’ arm Rail Vikas Nigam Ltd (RVNL) will tie up with Power Grid Corporation of India. IR is the biggest consumer of electricity, consuming about 18 billion units per year.

Currently, it sources power at an average cost of Rs 6-7.5 per unit. Buying power from the grid would help the railways save at least Rs 3 per unit. The spot market price has dipped below Rs 3 per unit. Government officials said it would reap dual benefits ...

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First Published: Mon, August 08 2016. 00:39 IST