Bharat Heavy Electricals (BHEL) plans to invest about Rs 1,000 crore for setting up a locomotive manufacturing facilities.

BHEL is in discussions with Siemens, Alstom and Bombardier for creating electric locomotive manufacturing facility at Madhepura in Bihar for production of around 150 units per annum.

BHEL has already signed a pact with General Electric for developing a facility to manufacture 100-120 diesel-electric locomotives every year at Marohwara in Bihar. In the venture, GE holds 51 per cent stake, while Indian Railways and BHEL hold 26 per cent and 23 per cent stake, respectively. The project will also include setting up a component manufacturing facility in Bhopal, where BHEL already has a similar plant. In this new facility, the company will manufacture components that will be used in the locomotive assembly unit in Marhaura.