Southern Railway Issues 40 MW Solar Tender for Chennai, Salem, and Tiruchirappalli Divisions

Southern Railway, through its nodal agency REMC Limited (Railway Energy Management Company Limited), has invited bids for the implementation of solar power projects with a cumulative capacity of 40 MW across the Chennai, Salem, and Tiruchirappalli divisions in Tamil Nadu. The project utilizes an Open Bidding System / Two Packet System to select developers for installations on land situated alongside railway tracks. This initiative represents the zone’s largest solar tender specifically targeting trackside land. Bidders must adhere to the final submission deadline of May 4, 2026.

Project Breakdown and Divisional Scope

The tender is part of a strategic infrastructure roadmap to optimize Southern Railway’s land bank for renewable energy generation. The scope includes:

• Geographical Coverage: The installations are distributed across three primary divisions in Tamil Nadu: Chennai, Salem, and Tiruchirappalli.
• Land Utilization: The project will utilize approximately 160 acres of land situated alongside railway tracks. This is distinct from the zone’s separate strategy for 300 acres of vacant land, which is earmarked for a 67 MWp capacity.
• Economic Impact: The transition to renewable energy has already yielded significant fiscal benefits for the zone, which recorded a savings of ₹16.64 crore from renewable sources during the 2019-20 fiscal year.

Technical Specifications and Bidding Parameters

The project will be executed to support both traction and non-traction purposes, ensuring a sustainable energy supply for train operations and railway installations.

• Tender Mode: The project is being implemented under the Developer (RESCO) / Power Purchase Agreement (PPA) mode.
• Bid Submission Deadline: May 4, 2026.
• Technical Eligibility: Bidders must demonstrate a successful track record in installing a minimum aggregate of 200 kWp for grid-connected rooftop systems or 1000 kWp for grid-connected solar systems (ground-mounted or rooftop) in Developer or EPC mode.
• Financial Eligibility: Bidders require an average annual turnover of at least ₹150 lakh over the last three financial years and must maintain a positive net worth throughout this period.
• Implementation Timeline: The successful developer is mandated to complete the project within 240 days from the date of the award.

Strategic Importance and Electrification Context

This tender is a cornerstone of the “Mission 100% Electrification” framework and the national goal for Indian Railways to achieve Net Zero Carbon Emission by 2030.

• Zonal Electrification Progress: As of December 15, 2025, Southern Railway has electrified 97.63% of its network, powering 4,995 RKM out of 5,116 RKM.
• Infrastructure Constraints: While four divisions (Chennai, Madurai, Palakkad, and Thiruvananthapuram) have achieved 100% electrification, the remaining 132 RKM of electrifiable lines are currently being addressed. Notably, 53 RKM of the network are excluded from electrification due to technical infeasibility, including the UNESCO-listed Mettupalayam-Udagamandalam (Ooty) mountain railway and the stretch between Ernakulam and Kochi Harbour Terminus.
• Global Benchmarking: At 97.63%, Southern Railway remains slightly behind India’s national average of 99.2% but significantly exceeds major international benchmarks such as China (82%) and Japan (64%).

Technical Bid Compliance and Documentation

Bidders are required to submit a comprehensive technical packet to ensure compliance with REMC Limited’s standards. Mandatory documentation includes:

• Digital Signature Certificate (DSC): Detailed information including validity and the name of the authorized holder.
• Financial Verification: A completed NEFT form and a cancelled cheque.
• Identification and Experience: Self-attested copies of the PAN card and experience certificates for completed or ongoing grid-connected solar works.
• Audit Compliance: Audited annual reports for the last three financial years. For proprietary or partnership firms, the Statutory Auditor must provide a summarized turnover sheet that explicitly includes the Unique Document Identification Number (UDIN) and the Firm Registration Number (FRN).
• Statutory Registration: Bidders must possess a valid GSTIN registration specifically for the state of Tamil Nadu.