 "Diesel locomotives procured under the agreement would have no scope for productive utilisation in the Indian Railways network in future, CAG said")
The Indian Railways will convert the existing diesel locomotives to electric locomotives, while the diesel locomotives that General Electric (GE) will come out with will be used in border areas as a backup.
"We are looking at electrification in a big way. That is going to save us nearly $2 billion a year which otherwise I will have to charge to passengers of the country," Union railway minister Piyush Goyal said addressing a FICCI summit in Delhi today.
He added the Railways is looking for conversion of existing diesel locomotives to electric ones at a cheaper cost, compared to refurbishment.
