Maha govt might take over Mumbai Metro-I project

Also indicates scrapping of metro II project for lack of green nod for car depot

Prithviraj Chavan
Sanjay Jog Mumbai
Last Updated : Aug 31 2013 | 2:25 AM IST
The Maharashtra government plans to take over the 11-km Versova-Andheri- Ghatkopar Metro-I project or negotiate with Anil Ambani group company Reliance Infrastructure following its demand for a three-fold increase in tariff due to delays in its commissioning.

The 3-km Versova-Azad Nagar stretch was to be commissioned in September, but got delayed as it did not get the green signal from the commissioner of railway safety. It is now expected to be commissioned in December, but it might be further delayed if the state-run Mumbai Metropolitan Region Development Authority and Reliance Infrastructure-led Mumbai Metro One Private Ltd (MOPL) failed to arrive at an agreement on the rates.

Reliance Infrastructure had recently pulled out of the Delhi airport metro link citing structural issues.

Maharashtra Chief Minister Prithviraj Chavan on Friday said the project cannot be commissioned without the commissioner of railway safety’s nod. He conceded that the tariff rise demand made by MOPL has yet to be sorted out. “There are two options — takeover or negotiations and arbitration. Takeover is quite impossible. We will have to see. Already, deadlines have been missed. I am hopeful the project will be operational by the end of the calendar year,” he noted.

The fares at 2003-04 level were pegged at Rs 6 for less than 3 kms, Rs 8 for travel between 3 kms and 8 kms, and Rs 10 for travelling beyond 8 kms.

According to the concession agreement, 11 per cent rate revision was permissible after every four years. The fares are estimated to be Rs 13.7 in the highest distance bracket. However, MOPL has made a demand for Rs 28-30 fare for the travel of 8-km and beyond.

Chavan said the metro project should not have been given on a build-operate-transfer (BOT) basis, but should have been implemented on the lines of Delhi Metro.

According to him, in view of lack of clearance for the car depot, the 32-km Mumbai Metro II project connecting Charkop-Bandra-Mankhurd, which was bagged by Reliance Infrastructure in 2009, may have to be scrapped.

“The decision has yet to be taken by the Cabinet Committee on Infrastructure led by me. All issues regarding bid bond and legal issues will be examined before taking a formal decision to cancel the project,'' he said.

On the Rs  23,000-crore Colaba-Bandra-Seepz Metro-III corridor, Chavan said the project would not be undertaken on a BOT basis.

Chavan also said the government will also scrap the Rs  5,000-crore Worli Haji Ali sea link project bagged by the Reliance Infrastructure. “A proposal in this regard has yet to be moved by the state-run Maharashtra State Road Development Corporation. After it is cleared by it, the Cabinet Committee on Infrastructure will take a final decision in this regard,” he added.
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First Published: Aug 31 2013 | 12:48 AM IST

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