New Delhi: The Union urban development ministry is mulling over a proposal to increase the funding for public private partnership-based mass rapid transportaion system (MRTS), including metro rail projects in major cities.
“We are considering the proposal to increase the central support to 30% from the existing 20% to encourage private participation in Metro projects,” M Ramachandra, Union urban development secretary told PTI.
“This will be given as viability gap funding and a final decision is likely to be taken soon”, he said.
According to the proposal, the additional funding of 10% will be disbursed from the Jawaharlal Nehru Urban Renewal Mission (JNURM) fund. The move aims at encouraging the private participation in metro projects as part of the MRTS in major cities.
Currently, metro projects are coming up on PPP model in Mumbai and Hyderabad. The government wants more developers to come forward for Metro projects.
The Metro project executed by the Delhi Metro Rail Corporation in the capital has proved itself as an environment-friendly, safe and fast urban transportaion mode.
The DMRC has done a detailed project report on the Mumbai metro projects which are coming up in two phases. The total 80 km route is to link Versova-Ghatpokar, Colaba-Charkop and Charkoji-Mankhurd in Mumbai.
The 60 km route earmarked for Hyderabad is Miyapur-Chaitanyapuri, Secunderabad-Falaknuma and Taranaka-Hightech City.
Besides, Hyderabad and Mumbai, Metro projects have been planned for Gurgaon, Chennai, Bangalore, Kolkata, Ahmedabad and Kochi. In Gurgaon, the project is being developed by real estate firm DLF as a last mile connectivity for its township.
The DMRC has been appointed as the prime consultant for Hyderabad and Kochi projects. The firm has already submitted detailed project reports for Metro systems in Bangalore, Kolkata, Ahmedabad and Chennai.
In Chennai, a 50-kilometre route plan from airport to Toll Gate and Chennai Fort to Guindy have been finalized in the report.
Admitting the high cost involved in metro projects, a senior DMRC official said currently Rs110 crore is required per km of elevated track and Rs270 crore for the underground track.