New Delhi: State-owned RITES Limited has informed the stock exchanges about a revision in the project cost of its Project Management Consultancy (PMC) contract for the electrification of the Bidar-Kalaburagi (Gulbarga) railway section in Karnataka.
According to the regulatory filing made by RITES on September 22, 2026, the revised project cost has increased to Rs 154.65 crore, excluding GST and including RITES’ fees. The original project cost was Rs 97.96 crore, excluding GST and including the company’s fees.
The project has been awarded by South Central Railway and covers 110 route kilometres (RKM). It is being executed on a cost-plus turnkey basis and is currently ongoing.
RITES Revises Cost of Railway Electrification Project
RITES has disclosed a revision in the project cost of its PMC contract for the electrification of the Bidar-Kalaburagi railway section in Karnataka.
The revised project cost stands at Rs 154.65 crore, compared with the original cost of Rs 97.96 crore. Both figures are exclusive of GST and include RITES’ fees.
The company made the disclosure through a regulatory filing to the stock exchanges on September 22.
The project continues to be executed by RITES and remains under implementation.
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Project Covers 110 Route Kilometres
The railway electrification project covers a total distance of 110 route kilometres between Bidar and Kalaburagi (Gulbarga) in Karnataka.
RITES is providing Project Management Consultancy services for the electrification work under the contract awarded by South Central Railway.
The project is being implemented on a cost-plus turnkey basis, under which the project management and execution framework is structured around the applicable project costs and contractual terms.
South Central Railway Is the Project Authority
The contract has been awarded by South Central Railway, which is a domestic government entity.
RITES said the transaction is between a government entity and a government company and therefore does not fall under related-party transaction considerations.
The disclosure was made as part of RITES’ regulatory reporting requirements.
Revised Project Cost Rises From Rs 97.96 Crore
The key financial change in the project is the revision in its cost.
- Original Project Cost: Rs 97.96 crore
- Revised Project Cost: Rs 154.65 crore
- Increase in Project Cost: Rs 56.69 crore
- GST: Excluded
- RITES Fees: Included in the project cost
The revised cost represents an increase of Rs 56.69 crore over the original project cost.
RITES’ filing does not, in the information provided, specify the detailed reasons for the revision in project cost.
Project Continues to Be Under Implementation
The Bidar-Kalaburagi railway electrification project is currently ongoing.
Under the contract, RITES is responsible for providing project management consultancy services for the electrification of the railway section.
The project forms part of the broader railway electrification works being undertaken across the Indian Railways network.
Key Highlights
- Company: RITES Limited
- Project: Electrification of Bidar-Kalaburagi (Gulbarga) railway section
- Location: Karnataka
- Client: South Central Railway
- Project Length: 110 route kilometres
- Revised Project Cost: Rs 154.65 crore, excluding GST
- Original Project Cost: Rs 97.96 crore, excluding GST
- Contract Type: Project Management Consultancy (PMC)
- Execution Basis: Cost-plus turnkey
- Status: Ongoing
- Order Type: Domestic
- Awarding Entity: South Central Railway
About RITES
RITES Limited is a public sector enterprise under the Ministry of Railways and provides consultancy and engineering services across transport infrastructure and related sectors. The company undertakes projects in areas including railways, urban transport, highways, ports and other infrastructure segments in India and overseas.
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