Indian Railways Approves Rs 668 Crores For Development Works Across Southern India.

New Delhi; June 2026: In a major boost towards enhancing rail capacity and operational efficiency, the Ministry of Railways has sanctioned a total sum of Rs 668 Crores for Southern India.

Rs 448 Crore Package – 

The upgradation of the electric traction system on the Mahbubnagar-Secunderabad Medchal section of South Central Railway and Bengaluru Tumkur section of South Western Railway.

Bengaluru-Tumkur section is one of the busiest railway corridors. As per the release, the upgradation project involves the conversion of the existing 1×25 kV electric traction system to a 2×25 kV electric traction system over a stretch of 120 Track Kilometres (TKM). The total cost of the project is Rs 162.57

crore, as per the release. The Bengaluru-Tumkur section forms part of the strategically important Highly Utilised Network (HUN) Route 10, which connects major economic and industrial centres along the Pune-Hubballi-Chikjajur-Birur-Tumkur-Bengaluru-Salem-Kanniyakumari corridor.

“The project will contribute to decongesting a key rail route serving the Bengaluru metropolitan region and adjoining districts, while also supporting smoother movement of passenger and freight traffic across Karnataka and southern India”, the Ministry of Railways press release said.

On the other hand, the Ministry has approved Rs 285.01 crore for the Mahbubnagar-Secunderabad-Medchal section of South Central Railway. As per the release, the Indian Railways will upgrade the existing 1×25 kV electric traction system to a modern 2×25 kV electric traction system. “The introduction of the 2×25 kV system will provide a more stable and efficient power supply for train operations, making rail services smoother, safer and more reliable”, the release said.

Furthermore, the Mahbubnagar-Secunderabad-Medchal section is one of the major High-Density Network (HDN) routes, falling on the Dharmavaram-Dhone-Mahbubnagar-Secunderabad-Medchal-Mudkhed-Indore-Ajmer rail corridor, which carries significant passenger and freight traffic.

According to the Ministry of Railways, the project will enhance train operations on the route upon completion by improving efficiency and increasing capacity. It will facilitate smoother freight movement, boosting the speed and volume of goods transportation, while also supporting trade, industry, and economic growth in the region.

Rs 220 Crore Package –

In a major boost to Keralam’s railway infrastructure, the Indian Railways has approved the expansion of 10.65-km Mararikulam-Alappuzha section under Southern Railway for Rs 220.51 crore, as per a statement by the Ministry of Railways. Through this project, Indian Railways aims to enhance line capacity, improve operational efficiency for smoother movement of passenger and freight trains on the busy rail corridor.

“Indian Railways has approved the doubling of the 10.65 km Mararikulam – Alappuzha section of Southern Railway at a sanctioned cost of Rs 220.51 crore”, the release said. As of now, the Mararikulam – Alappuzha section is the only single-line stretch remaining on the Ernakulam -Kayankulam rail corridor.

Meanwhile, expansion work on all other sections has either been completed or is underway, as per the release. “The project has been approved under the umbrella work for doubling, tripling, quadrupling, flyover and bypass works aimed at augmenting the capacity of the railway network”, the release said.

Upon completion, the project is expected to facilitate the operation of 09 additional passenger trains in each direction per day and support freight traffic of 2.88 million tons per annum (MTPA).

“The doubling work is also projected to generate additional net earnings of approximately Rs 3.08 crore annually through enhanced passenger and freight movement”, the release added. It is further expected that the latest railway extension project will significantly “improve operational efficiency by reducing detention of both passenger and freight trains, leading to faster and smoother train operations on this important route”.

Furthermore, the project will also enhance line capacity, improve punctuality and strengthen connectivity across the region. “The proposal has been identified under Mission 3000 MT and the High Density Traffic Network Corridor of Indian Railways. The project has demonstrated strong economic viability, with a Financial Internal Rate of Return (FIRR) of 3.99% and an Economic Internal Rate of Return (EIRR) of 22.30%”, the release said. Team Maverick.