Indian Railways to Achieve 100% Electrification by FY26, Aims Net Zero by 2030
Team Finance Saathi
25/Feb/2025

What's covered under the Article:
- Indian Railways to achieve 100% electrification by FY26, currently at 97% completion.
- Railways signs a 170 MW renewable power deal, securing a total of 1.5 GW capacity.
- Rs. 1,04,000 crore (US$ 12 billion) invested in railway projects in Madhya Pradesh.
Indian Railways is on track to achieve 100% electrification by FY26, with a larger goal of becoming net zero by 2030, according to Union Minister of Railways Mr. Ashwini Vaishnaw. Speaking virtually at the Madhya Pradesh Global Investors Summit (GIS) 2025, he emphasized the government’s commitment to railway modernization and sustainability.
With over 97% of railway electrification already completed, the final phase is progressing rapidly. The initiative is part of India’s broader sustainability vision, aiming to reduce carbon emissions and enhance energy efficiency. By FY26, Indian Railways will be fully electrified, marking a significant milestone in the country's green energy transition.
Railways’ Renewable Energy Commitment
In line with its net-zero goal, Indian Railways is actively investing in renewable energy sources. Mr. Vaishnaw announced that the railway sector has secured 1,500 MW (1.5 GW) of renewable power, reinforcing its commitment to sustainable energy procurement.
A significant step in this direction is the latest 170 MW power purchase agreement signed with Madhya Pradesh, in collaboration with Waree Energies and Rewa Ultra Mega Solar Ltd (RUMSL). This agreement ensures a stable supply of clean energy to the railway network, further strengthening its sustainable operations.
Additionally, the minister expressed interest in wind and nuclear energy. He invited Madhya Pradesh to explore these sectors and assured that Indian Railways is ready to procure clean power from future renewable projects in the state.
Major Railway Investments in Madhya Pradesh
Madhya Pradesh has received a record-breaking railway budget of Rs. 14,745 crore (US$ 1.70 billion) for FY26, demonstrating the government’s commitment to developing railway infrastructure in the state.
The pace of railway expansion has increased significantly in the last decade. Before 2014, only 29.3 km of railway tracks were built annually in Madhya Pradesh. Today, this figure has surged 7.5 times to 223 km per year, improving connectivity and boosting regional economic development.
Further, Mr. Vaishnaw highlighted that a massive investment of Rs. 1,04,000 crore (US$ 12 billion) is currently underway for various railway projects across the state. These investments focus on:
- Track expansion and modernization to enhance railway connectivity.
- Electrification and green energy adoption to achieve sustainability targets.
- Improved passenger facilities and high-speed rail projects.
India’s Railway Growth and Future Plans
The Indian Railways is experiencing unprecedented transformation, supported by technological advancements and sustainability initiatives. With increased budget allocation, faster project execution, and renewable energy adoption, the railway sector is moving towards efficient and eco-friendly operations.
Mr. Vaishnaw also reiterated the government’s broader vision for India’s transport sector, ensuring that railway infrastructure modernization aligns with national economic growth and environmental sustainability.
As Indian Railways continues its transition to a greener, more efficient transport network, the government's focus on electrification, renewable energy adoption, and infrastructure development will play a crucial role in shaping India’s future mobility landscape.
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