Tamil Nadu wants Centre to amend the MoU for Chennai Metro

Chief Minister Jayalalithaa says the current agreement is against the state's interest

Tamil Nadu Chief Minister J Jayalalithaa today urged the Centre to amend the provisions of the tripartite agreement signed between the Centre, state government and Chennai Metro Rail. She alleged that the agreement is against the state's interest.

In June 2016, the Union Cabinet gave its approval to the proposal for Chennai Metro Rail Phase-I Project from Washermenpet - Wimco Nagar. This covers a length of 9.051 km, at a total cost of Rs 3,770 crore.

After laying the foundation stone for first phase extension of metro rail between Washermenpet - Wimco Nagar, Jayalalithaa said that in 2011 the then DMK government signed a Memorandum of Understanding (MoU) with the central government and Chennai Metro Rail.

Several provisions in the MoU are against the state government's interest and she had requested to amend the same.

Jayalalithaa said taking into effect the traffic congestion in North Chennai the then DMK government in 2010 sent a proposal to the central government to extend the metro rail line from Washermenpet to Wimco Nagar. However the Congress party that was heading the coalition government at the centre did not accord its permission, she alleged.

The funding for the project is expected from Japan International Cooperation Agency (JICA) and the project will be sent to the central government soon for approval.

Tamil Nadu Government is planning to expand the Chennai Metro Rail project along three corridors and an orbital corridor at an estimated cost of Rs 44,000 crore. The State approved for a Detailed Feasibility Report for the expansion of the project along three corridors - North West to South East; West to East and an orbital corridor.

Of the total project cost, 59 per cent will be JBIC's loan, while 30 per cent equity will be shared by Centre and state Governments equally. The balance will be mobilised through Subordinate Debt, of which five per cent comes from GoI and 5.78 per cent from Tamil Nadu government.