Rail News


October 07 , 2021

High Localisation, Job Creation: Here's How Alstom Contributed To India's Economy

September 30, 2021

With its sustainable mobility solutions, Alstom helped in reducing carbon-di-oxide emissions by over 10 times compared to other modes of passenger and freight transport.

Multinational rolling stock manufacturer Alstom contributed €438M indirectly to the Indian economy in the last five years, according to a recent Ernst & Young report. Alstom has been involved in several Indian Railway and urban metro transport projects for the production and induction of electric locomotives, rolling stock, and trainsets. By the end of March 2021, Alstom has an order backlog of €4.1 billion from its India operations. (Also Read: Alstom Begins Manufacturing Of Trains For India's 1st Rapid Rail Corridor )
In the last five years, Alstom helped in supporting more than 161,000 direct, indirect and induced jobs supported in the country and aims to increase women employees to 28 per cent, according to the report. With its sustainable mobility solutions, Alstom helped in reducing carbon-di-oxide emissions by over 10 times compared to other modes of passenger and freight transport. Here are some of the major contributions by Alstom to the Indian economy:

High localization, building a supply chain ecosystem: 
Alstom India buys €331 million worth of goods and services, out of which 75 per cent is manufactured with the suppliers in India. Overall, the company has invested ₹ 12,556 million locally in the last five years. The company has also conducted 21 technology transfers across Alstom locations, to suppliers and other partners.

Job creation:
By March 2021, Alstom had 7,634 direct employees in India. The company has supported around 71,340 indirect and 27,770 induced jobs across the country. Alstom seeks to include 28 per cent women in the management, professional, and engineering roles by 2025. 

Reduction in carbondioxide (CO2) emissions:
Alstom's metro trains in India emit 7.9 gCO2/ passenger kms, compared to high CO2 emissions from cars which is around 79.5 gCO2/passenger km. Similarly, the electric locomotives deployed for the high-speed freight transportation emit 13.4 gCO2/ton.km of carbondioxide, while goods trucks account for 92.3 gCO2/ton.kms.  

Sustainable products and services:
Alstom follows an environment friendly approach in manufacture of transport and mobility solutions. For example, the materials and components used in manufacturing the rolling stock for Mumbai Metro Line 3 are 96 per cent recyclable and 99 per cent recoverable.

Reducing environmental impact of installations:
Alstom is investing in linking renewable energy production systems to its locations, such as at the Sri City facility - where 1 MW of solar energy generation capacity has been built. The project will result in an annual reduction of 1,132 tonnes of CO2 emissions and reducing non-renewable energy consumption by 30 per cent by the end of this year, according to the report.

In the current line of projects, Alstom recently delivered the fist trainset for Kanpur Metro. It is also involved in manufacturing trains for the country's first regional rapid transit system (RRTS) project coming up in the national capital region. 

In 2020, as part of the biggest foreign direct investment (FDI) project in the Indian Railways sector, Alstom delivered the 100th electric locomotive of 12,000 horsepower (HP) to the national transporter. 


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