Vaishnaw unveils vision for 7,000 km high-speed rail network by 2039-40

New Delhi, Mar 3: Union Minister for Railways, Information & Broadcasting, and Electronics & Information Technology, Ashwini Vaishnaw Tuesday addressed the second installment of the Budget Webinar series today, focusing on the theme of “Sustaining and Strengthening Economic Growth: Infrastructure, Logistics & Freight”.
During the webinar, the Union Minister highlighted three key focus areas for the sector: scaling up capacity in a synchronized manner, strengthening quality and qualification standards, and reforming documentation and contractual frameworks to reduce disputes and ensure timely delivery of projects.
Vaishnaw underlined the unprecedented growth of India’s railway network over the past decade. Approximately 35,000 km of new tracks have been added, surpassing the total railway network of Germany. Further, nearly 99% of the network, covering 55,000 km, has been electrified, exceeding the combined railway networks of Germany, Belgium, Switzerland, and Denmark.
The Union Minister emphasized that such rapid scaling poses a major challenge: enhancing industry capacity and resources in tandem with government expansion. He stressed that railway development is fundamentally a partnership between industry and government. Sudden increases or decreases in project scale can adversely affect industry preparedness. Therefore, skilling, supervision, quality standards, and technology adoption must grow in sync with infrastructure expansion. Inputs from industry stakeholders will help shape future reforms.
Addressing high-speed rail development, Vaishnaw highlighted the Mumbai-Ahmedabad High-Speed Rail Corridor as a steep learning curve. He noted that train operations beyond 160 km per hour increase design and operational complexity exponentially.
Through collaboration with IITs, industry partners, and railway engineers, India successfully navigated these challenges. While Japanese partners initially estimated two km of construction per month, India achieved 15 km per month, drawing interest from Japan for future corridors.
Building on this success, the Union Minister announced that the Prime Minister has approved seven new high-speed passenger corridors spanning 4,000 km with an estimated investment of Rs 16 lakh crore, to be completed over the next 10 years.
This requires commissioning nearly 500 km annually, equivalent to the scale of the Mumbai-Ahmedabad corridor every year. Plans are underway to sanction another 3,000 km, aiming for a 7,000 km network by 2039–40, with a long-term vision of 15,000-21,000 km of high-speed rail.
Vaishnaw emphasized that achieving these targets will require coordinated efforts across railways, industry, supply chains, equipment manufacturers, service providers, operations and maintenance teams, signalling experts, rolling stock manufacturers, and producers of specialized electrical conductors. He invited major construction and design firms to focused workshops to deliberate on these challenges.
Vaishnaw underscored the urgent need to tighten qualification criteria and reduce excessive subcontracting. He observed that broad tender norms often lead to participation by 20–30 bidders, resulting in bids 20–30% below conservative cost estimates. Such practices often cause cost-cutting, disputes, and arbitration.
Vaishnaw stressed that subcontracting should not exceed 40%, noting that in private-sector projects, it is typically limited to 20–30% for complex assignments. Public projects, he said, must adhere to even stricter quality and accountability standards, ensuring that government funds are used efficiently and disputes are minimized.
Highlighting the complexity of railway projects, the Union Minister explained that unlike highways, railway projects encompass six critical components: Track structure, Overhead electrification systems (comparable to power grids), Signalling and optical fibre networks (akin to telecom infrastructure), Station development (similar to large real estate ecosystems), Rolling stock operations, Integrated operations and maintenance.
He stressed that domain expertise and sector-specific experience are essential while awarding contracts. Similar approaches are needed in civil aviation and waterways, as agencies without relevant expertise often face delays, cost overruns, and litigation.
Vaishnaw thanked industry professionals, participants from various ministries, executing agencies, and stakeholders who contributed insights during the post-Budget webinar. He said the suggestions will serve as a foundation for reforms across the sector.
The Union Minister also extended gratitude to Union Ministers Manohar Lal Khattar, Sarbananda Sonowal, and K. Ram Mohan Naidu, along with the Secretaries of Ports, Shipping & Waterways; Power; and Civil Aviation. He described the webinar as an effective platform to deliberate on key issues and develop innovative solutions aligned with the Union Budget announcements.