TS-iPASS is the ecosystem spurring industrial growth: KCR 

Medha Servo Drives, which had signed an MoU with Telangana government for the factory in October 2017, was allotted 100 acres by TSIIC.

Telangana realised its aspiration to host a rail coach manufacturing plant with the formal inauguration of Medha Servo Drives factory near Hyderabad by Chief Minister K. Chandrasekhar Rao on Thursday.

“We are really proud of you,” Mr. Rao told the Medha promoters amid applause from the workforce at the opening of the facility for rail and metro coaches in Kondakal, near here. He assured all support for the company as it gets set to grow operations. Besides catering to the requirements of Indian Railways, it will also manufacture Mumbai monorail trainsets.

The Chief Minister, who earlier toured the facility, appreciated the company as also how its decision helped attract ancilliary units, including a Malaysian firm. “Whatever support is required... we are with you,” he said, pointing out that the coach factory is the latest addition to Telangana’s industrial landscape known for the prowess of Life Sciences sector.

Promoting manufacturing at scale can be achieved only when backed by conducive policy environment, Mr.Rao said, recalling the extensive research undertaken and the efforts that went into shaping of Telangana State Industrial Project Approval and Self-Certification System that assures time-bound clearance or deemed approval. TS-iPASS is “the real single window,” and the ecosystem to spur investments, he said. It has helped attract host of companies, large investments while staying clear of bogus MoUs, he said.

An official note on the Medha plant opening said as part of Andhra Pradesh Reorganisation Act 2014, Telangana was promised a rail coach factory within six months of the State formation but that was yet to become a reality despite frequent appeals to the Centre. Medha Servo Drives, which had signed an MoU with Telangana government for the factory in October 2017, was allotted 100 acres by TSIIC. Industries Minister K.T. Rama Rao laid the foundation for the 33,000 sq ft plant in August 2020.

The plant, on which the investment proposed is ₹ 805 crore, presently employed 558 people directly, while also benefitting an additional 500 indirectly. Around 1,000 people are likely to get employment opportunities in near future. Medha has formed a joint venture with Swiss railway rolling stock manufacturer Stadler Rail and the JV will use the factory to cater to the market in India and exports to customers across the Asia Pacific region.

Established in 1984 and into supply of various products to railways since 1990, Medha is focused on design, development, manufacture, supply and service of complex electrical and electronic railway products. TSIIC has also allotted 25 acres at E-City to Medha for manufacture of Solar PV invertors, a project on which the company will be investing ₹80 crore in two phases and generate jobs for 210 people.