New Delhi: Steel Authority of India Limited (SAIL) has signed a Memorandum of Understanding (MoU) with Navratna PSU RITES Limited to strengthen the operation and maintenance of diesel locomotives across its plants and mines, including the Bokaro Steel Plant.
The MoU was signed by P.K. Baisakhia, Executive Director (Operations), on behalf of SAIL and Sandeep Jain, Executive Director (Technical Services), for RITES, in the presence of senior officials from both organisations.
SAIL and RITES Sign MoU for diesel locomotive leasing and maintenance
The collaboration will enable both organizations to focus on their core competencies, optimize costs, enhance operational efficiencies and contribute to reducing carbon footprint
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SAIL operates an extensive in-house “mini rail network” to move raw materials, semi-finished goods and finished steel within its complexes. Reliable maintenance of its diesel locomotive fleet, including wet-leased units, is critical to meeting current production targets and future expansion plans.
With Indian Railways rapidly shifting to electric traction, RITES’ specialised expertise in diesel locomotive operations and maintenance will help ensure uninterrupted services for SAIL. Backed by its nationwide railway infrastructure, ready access to spares and trained manpower, RITES is expected to support SAIL’s logistics needs efficiently.
The partnership will allow both PSUs to focus on their core strengths, optimise operational costs and improve turnaround time. It is also aimed at supporting greener and more efficient logistics practices.
For Bokaro Steel Plant, the agreement is expected to significantly enhance internal transportation reliability, reduce logistics costs and help achieve production targets, ultimately boosting overall plant productivity.
