Viability Report On Metro Link In May
A special team constituted to study the feasibility of an underground rail link between northern suburbs of Mumbai and south Mumbai will finalise its report in May, P G Patankar, noted transport expert and convener of the committee, told investors.
The Mumbai metro planning group, which includes representatives from TCS, Autoriders, Lok group and others, was set up with state and Union government authorisation to study the feasibility of the project, even though the state is yet to take a firm decision on the Rs 6,500 crore project.
The metro project or the seventh corridor as it is referred to, will link Konva in the North and World Trade Centre in South Mu-mbai. The project envisages construction of broad gauge link thro-ugh deep tunnelling technology.
Traffic earnings alone will not be sufficient to support the project, which is expected to cost Rs 6,500 crore, Patankar said. Hence one has to look at areas of cash generation, which could be metro tax, location tax, and commercialisation of land, he added.
City & Industrial Development Corporation of Maharashtra Ltd (Cidco) has identified 12 projects to be developed through private participation. The 12 projects involve a Rs 5,870 crore investment and are located in and around Navi Mumbai. The projects include a Rs 1,715 crore domestic airport near Panvel. The land for the single runway airport-cum-terminal building and support facilities, and exhibition complex is in possession of Cidco, B S Dhumal, managing director of the company, told investors. The project will be implemented in three phases on a BOOT basis. A special purpose joint venture company will be set up to undertake the project. The company will feature HDFC, Hudco, ILFS and Cidco as partners from the government side besides the private party. The debt-equity ratio for the proposed project will be 3:1.
Besides the airport project, Cidco is seeking private participation for the Rs 267 crore Turbhe railway station-cum-commercial complex, Rs 218 crore Kharghar railway station-cum-commercial complex, Rs 100 crore amusement park, a Rs 110 crore golf course & country club, Rs 180 crore Seawoods railway station-cum-super market, Rs 300 crore international exhibition centre, Rs 110 crore international convention centre, Rs 250 crore water transport terminal, Rs 1210 crore developers scheme, Ulwe, a Rs 120 crore technology park and Rs 300 crore Seawoods estate.
The Mumbai Metropolitan Region Development Authority, is seeking private participation of the proposed 18 km link to connect the island of Mumbai to the mainland. The link will include a 13.4 km bridge with approaches from both sides and will link Sewri in Mumbai to Nhava in the mainland. The Rs 2000 crore project is being proposed to be set up through a public-private sector partnership.
The government is providing incentives for the private sector for developing the project. These include subsidies for land development, income tax holidays, automatic approval for foreign investment up to 74 per cent, reduced customs duties on imports, state level organisations to assist in project financing and implementation, public toll roads and advertisements, private concessions and governmental assistance for project clearances.