Indian Railways to invest Rs 50 cr in startups annually

Aimed at promoting research and development (R&D) in the private sector for the modernisation of the rail network, and also to encourage entrepreneurship and innovation, Indian Railways on Monday launched an innovation policy for startups to partner with the public transporter.

Launching that policy, Railway Minister Ashwini Vaishnaw said the Indian Railways will invest more than Rs 50 crore annually to fund startups. He also said that, unlike other such collaborations, the intellectual property rights (IPR) for innovations will remain with the innovator.

The policy aims at providing necessary seed fund support, of up to Rs 1.5 crore (on a matching contribution basis), to startups showing capability, intent, and promise to produce functional prototypes, based on new innovative concepts, for potential use in Indian Railways, said a statement.

The funding scheme has been fixed on a cost-sharing basis in equal proportions - 50:50 - by the Indian Railways and an innovator.

He said that throughout the entire developmental journey, railways' field officers, and zonal and railway board officers will continuously support and hand-hold the innovators.

The Indian Railway Innovation Policy would identify and enable Indian innovators to engage with the railways for developing cost-effective, implementable, scalable solutions and functional prototypes for the national transporter, he said.

Vaishnaw said that the selection through an open, transparent and fair process which will entail innovators uploading their concepts with necessary proof on a dedicated portal, the Indian Railway Innovation Portal on the web address www.innovation.indianrailways.gov.in.