HBL Engineering Wins ₹500 Crore Railway Contracts for KAVACH Installation

29 Mar 2025 , 05:43 PM

HBL Engineering Ltd have won railway contracts totaling nearly ₹500 crore as part of the HBL-Shivakriti International Consortium, of which HBL is the lead member. The agreement is for the installation of KAVACH (version 4.0), an indigenously developed automatic train protection system, on critical rail routes and the company was allotted two Letters of Acceptance (LoAs) for the same.

The first contract, which is worth ₹244.68 crore, pertains to Viramgam-Rajkot-Okha section of Western Railway’s Rajkot Division. The project is to be executed within 730 days, reckoned from the date of allotment.

The second, valued at ₹255 crore, is for the Dholpur-Bina section in the North Central Railway’s Jhansi Division. The project is to be completed in 700 days from the date of appointment. Both projects have a total contract value of ₹499.68 crore (including 18% GST).

Listed companies in addition to HBL Engineering Ltd that are currently executing KAVACH system installation contracts for Indian Railways include KEC International, RailTel, and Siemens

The KAVACH system has been designed by the Research Design and Standards Organisation (RDSO) along with the Indian industry partners. The system is designed to enhance railway safety, prevent train collisions, and improve operational security across India’s railway network.