Bombardier set to win Rs.350 Cr Delhi Metro deal

New Delhi: Bombardier Transportation India Ltd is set to win a Rs.350-crore contract for providing the train control and signalling system for a 58.4km stretch of the Delhi Metro connecting Mukundpur to Shiv Vihar.

Delhi Metro Rail Corp. (DMRC) has issued a letter of acceptance (LoA) to Bombardier, a person familiar with the matter said, requesting anonymity.

“The LoA for line seven (or the inner ring road line) has been given to Bombardier as it emerged as the most competitive bidder,” this person said. “The official announcement will be made only after signing of the contract and completing other formalities. The contract is valued around Rs.350 crore.”

An announcement is typically made 2-3 weeks after an LoA is issued.

“Line seven will be the first driverless unattended signalling system in India by DMRC, covering around 59km in two phases,” said Harsh Mehta, director, communications and public affairs, Bombardier Transportation India.

He confirmed Bombardier had been selected preferred bidder for the contract but refused to disclose more details as it hadn’t been signed yet. The contract is expected to be signed by end-July, he said. Alstom Projects India, Siemens Ltd, Thales India Pvt. Ltd and Nippon Signal Co. Ltd were the other bidders in the race for the contract.

Bombardier earlier equipped the 74-km long Line 5, Line 6 and their extensions with train control and signalling systems worth Rs.550 crore. Adding the contract for line seven, Bombardier will become the largest supplier of signalling systems to DMRC.

The driverless signalling technology will enable DMRC to cut the time lag between consecutive metro trains, enabling increased frequency and better capacity.

Bombardier has also supplied 614 metro cars to DMRC, with the overall contract worth about Rs.3,500 crore.
The inner ring road line, currently under construction, is the longest stretch of the third phase of the Delhi metro project. Work on this phase started in early 2011. Two links will be added along with 10 route extensions that will total 140 km at an estimated cost of Rs.35,000 crore.

After the completion of the third phase, aimed for March 2016, DMRC expects average ridership to increase to four million passengers a day from 2.25 million now, excluding on the airport express line. The third phase is being funded by the Union government, the Delhi government, Japan International Cooperation Agency and proceeds from property development by DMRC.

“The contract is in the final stages of finalization and we will be able to give you further details only after the process is complete,” Anuj Dayal, executive director, corporate communication, DMRC, said in an email response to a query seeking to confirm the award of the contract to Bombardier.

Currently, the Delhi metro network comprises six lines with a total length of almost 190 km and 142 stations connecting Delhi, Gurgaon, Noida and Gaziabad in the national capital region.

“Private sector’s presence in railways and defence sectors is very small. Such contracts will help expand private sector’s role in railways and bring in the latest technology and expertise,” said Abhaya Agarwal, partner, infrastructure advisory, at EY Llp, a consultancy.