CG Power Subsidiary G.G. Tronics bags ₹433 Crore KAVACH Order from Indian Railways

Chittranjan, India (Metro Rail Today): Engineering major CG Power and Industrial Solutions Ltd on Friday announced that its subsidiary GG Tronics India Private Ltd (GGT) has secured a significant order worth ₹433.34 crore from Chittaranjan Locomotive Works (CLW), West Bengal, under the Government of India.

The contract involves the supply, installation, testing, and commissioning of onboard KAVACH equipment, India’s indigenous Train Collision Avoidance System, further strengthening Indian Railways’ push towards enhanced operational safety and modern signalling technologies.

Key Details of the Contract

• Awarding Authority: Chittaranjan Locomotive Works (CLW), Indian Railways

• Contractor: GG Tronics India Private Ltd (GGT), subsidiary of CG Power

• Order Value: ₹433.34 crore (inclusive of taxes)

• Execution Timeline: 12 months

• Scope: Supply and deployment of onboard KAVACH locomotive equipment as per RDSO specifications

Under the contract, GGT will undertake end-to-end deployment of the KAVACH system, including complete wiring, harnessing, cabling, and system integration within locomotives to ensure full operational readiness.

The order also includes an Annual Maintenance Contract (AMC) for 11 years, commencing from the fifth year onwards, at a rate of 3% per annum, as per contractual terms. This long-term maintenance scope highlights the mission-critical nature of the KAVACH system and GGT’s role as a long-term technology partner to Indian Railways.

Strengthening Rail Safety and Modernisation

KAVACH is a key safety initiative of Indian Railways designed to prevent train collisions, avoid Signal Passing at Danger (SPAD), and enhance overall network safety. The latest contracts awarded to domestic players reflect the Railways’ focus on indigenous technology, reduced import dependence, and rapid system-wide deployment.

Commenting on the development, Mr. Amar Kaul, Managing Director & CEO, CG Power and Industrial Solutions Ltd, said the company is entering a strong growth phase driven by rising demand in the power sector, improved performance across industrial businesses, and a sharp increase in export activity.

He noted that CG Power is growing faster than the overall market, enabling it to gain market share both in India and overseas. Export order bookings during the April–December period have risen by over 50% year-on-year, reflecting increasing global confidence in India-made products and the company’s capabilities in design, quality, and execution.

Strategic Investments for the Future

While expanding its core businesses, CG Power is also making long-term strategic investments in emerging areas such as semiconductors and data centres. Although these initiatives may impact near-term earnings, the company views them as critical to building a sustainable global footprint over the long term.

With this ₹433 crore KAVACH order from CLW, GG Tronics further consolidates its position as a key contributor to India’s rail safety ecosystem, aligning with Indian Railways’ broader objective of creating a safer, smarter, and technologically advanced railway network.