In a boost to start-ups, Railways promises Rs 1.5 crore for tech ideas

To encourage start-ups, Indian Railways on Monday launched a policy to fund innovations and promised to spend Rs 1.5 crore of seed money for innovative technological solutions for the national transporter.

“Indian Railways will follow the ideas through to the product after proof of concept…The annual budget for the policy will be around Rs 40-50 crore and an additional fund for the divisional railway managers so that they can find on-field solutions to the problems. Also, the IPR will remain with innovator,” said Railway Minister Ashwini Vaishnaw.

Under the Indian Railway Innovation Policy, the Railways will invest in start-ups so that they are able to procure innovations directly from the start-ups. The funding mechanism will be on cost-sharing basis in equal proportions, 50:50, by the Indian Railways and an innovator.