Effective November 26, Indian Railways has been saving between Rs. 2.5 -3.5 per unit of electricity for running trains on the electric traction in Maharashtra. This has been possible due to Central Railway’s Power Purchase Agreement to avail up to 300 MW power from Ratnagiri Gas & Power Private Ltd (RGPPL)- a joint venture company promoted by MSEB/HCL, NTPC and GAIL. The annual savings are estimated at between Rs. 500-700 crores.
The Power Purchase Agreement (PPA) with RGPPL has been signed by Central Railway for 47 traction sub-stations located in Maharashtra-(36 on Central Railway, six on Western Railway , four on South East Central Railway and one on South Central; Railway), according to a statement from Central Railway.
All the formalities required for open access have been completed and a special cell has been formed at Mumbai Office of Central Railway to monitor online scheduling of power in consultation with State Load Dispatch Centre and RGPPL Power Point.
The Ministry of Power has given deemed distribution licensee status to Indian Railways and the Central Electricity Regulatory Commission (CERC) has endorsed this decision. This allows Indian Railways to obtain electricity by Railways through Open Access mechanism.