RailTel to establish telecom setup for Pimpri Chinchwad Smart City
21 Aug 2023
2 Min Read
CW Team
RailTel, which falls under the category of a Mini Ratna Public Sector Undertaking (PSU) functioning under the Ministry of Railways, has been assigned a significant task by Pimpri Chinchwad Smart City (PCSCL). The task involves providing comprehensive services for the monetisation of PCSCL's City Network Infrastructure. This will follow a "revenue sharing model" that spans a duration of 10 years.
It is noteworthy that this specific opportunity is a significant achievement for RailTel. This is because it signifies the company's initial involvement in the monetisation of telecommunications infrastructure within the context of a Smart City. The city in focus, Pimpri Chinchwad, is positioned in the Pune region. It holds the distinction of being the eighteenth most populous city in India and the fifth-largest in the state of Maharashtra. RailTel's main role in the monetisation process will be to generate revenue through leasing agreements.
As stated in an official announcement by RailTel, the expected annual revenue is estimated to reach Rs 0.7 billion. This would result in a total revenue of Rs 7 billion over the span of ten years. Out of this amount, RailTel has committed to paying Rs 324 million as a fixed revenue payment to PCSCL each year.
Additionally, RailTel has consented to provide extra revenue, amounting to a minimum of 21 percent, based on the entire incremental revenue generated during the ten-year period. The comprehensive project also encompasses the establishment of a Network Operation Centre (NOC). This will involve managing and maintaining the existing digital infrastructure that connects various entities such as citizens, government bodies, enterprises, and communities. The project also includes the potential expansion of PCSCL's network infrastructure. This expansion will come with the associated operational and maintenance responsibilities over the same ten-year period, as laid out in the statement.
RailTel will also supply PCSCL with the necessary fiber cable cores to establish connectivity across different parts of the smart city. This will cover the entirety of the Pimpri Chinchwad Municipal Corporation (PCMC) area. The aim of this initiative is to create a digitally interconnected ecosystem. This ecosystem is intended to improve citizen experiences and facilitate efficient urban services provided by PCMC, PCSCL, and the local police department. The acquisition of this order was secured through a thorough and transparent competitive bidding process, utilising the highest Cost Method (H1).
Also read:
Srinagar's historic districts transformed into Vibrant Urban Centres
Union housing ministry lauds Coimbatore smart city project
RailTel, which falls under the category of a Mini Ratna Public Sector Undertaking (PSU) functioning under the Ministry of Railways, has been assigned a significant task by Pimpri Chinchwad Smart City (PCSCL). The task involves providing comprehensive services for the monetisation of PCSCL's City Network Infrastructure. This will follow a revenue sharing model that spans a duration of 10 years.
It is noteworthy that this specific opportunity is a significant achievement for RailTel. This is because it signifies the company's initial involvement in the monetisation of telecommunications infrastructure within the context of a Smart City. The city in focus, Pimpri Chinchwad, is positioned in the Pune region. It holds the distinction of being the eighteenth most populous city in India and the fifth-largest in the state of Maharashtra. RailTel's main role in the monetisation process will be to generate revenue through leasing agreements.
As stated in an official announcement by RailTel, the expected annual revenue is estimated to reach Rs 0.7 billion. This would result in a total revenue of Rs 7 billion over the span of ten years. Out of this amount, RailTel has committed to paying Rs 324 million as a fixed revenue payment to PCSCL each year.
Additionally, RailTel has consented to provide extra revenue, amounting to a minimum of 21 percent, based on the entire incremental revenue generated during the ten-year period. The comprehensive project also encompasses the establishment of a Network Operation Centre (NOC). This will involve managing and maintaining the existing digital infrastructure that connects various entities such as citizens, government bodies, enterprises, and communities. The project also includes the potential expansion of PCSCL's network infrastructure. This expansion will come with the associated operational and maintenance responsibilities over the same ten-year period, as laid out in the statement.
RailTel will also supply PCSCL with the necessary fiber cable cores to establish connectivity across different parts of the smart city. This will cover the entirety of the Pimpri Chinchwad Municipal Corporation (PCMC) area. The aim of this initiative is to create a digitally interconnected ecosystem. This ecosystem is intended to improve citizen experiences and facilitate efficient urban services provided by PCMC, PCSCL, and the local police department. The acquisition of this order was secured through a thorough and transparent competitive bidding process, utilising the highest Cost Method (H1).
Also read:
Srinagar's historic districts transformed into Vibrant Urban CentresUnion housing ministry lauds Coimbatore smart city project
Next Story
Reliance, Diehl Advance Pact for Precision-Guided Munitions
Diehl Defence CEO Helmut Rauch and Reliance Group鈥檚 Founder Chairman Anil D. Ambani have held discussions to advance their ongoing strategic partnership focused on Guided and Terminally Guided Munitions (TGM), under a cooperation agreement originally signed in 2019.This collaboration underscores Diehl Defence鈥檚 long-term commitment to the Indian market and its support for the Indian Government鈥檚 Make in India initiative. The partnership鈥檚 current emphasis is on the urgent supply of the Vulcano 155mm Precision Guided Munition system to the Indian Armed Forces.Simultaneously, the 鈥淰ulc..
Next Story
Modis Navnirman to Migrate to Main Board, Merge Subsidiary
Modis Navnirman Limited has announced that its Board of Directors has approved a key strategic initiative involving migration from the BSE SME platform to the Main Board of both BSE and NSE, alongside a merger with its wholly owned subsidiary, Shree Modis Navnirman Private Limited.The move to the main boards marks a major milestone in the company鈥檚 growth trajectory, reflecting its consistent financial performance, robust corporate governance, and long-term commitment to value creation. This transition will grant the company access to a broader investor base, improve market participation, en..
Next Story
Global Capital Flows Remain Subdued, EMEA Leads in Q1 2025
The Bharat InvITs Association鈥檚 industry update for Q1 2025 shows subdued global capital flows, with investment volumes remaining at the lower end of the five-year range despite a late 2024 recovery. According to data from Colliers and MSCI Real Capital Analytics, activity in North America declined slightly, while EMEA maintained steady levels and emerged as the top region for investment in standing assets.The EMEA region now hosts seven of the top ten cross-border capital destinations for standing assets, pushing the United States鈥� share of global activity below 15 per cent. Meanwhile, in..