No plans yet to buy back Metro-1 from Reliance, says Maharashtra CM Devendra Fadnavis

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Chief Minister Devendra Fadnavis informed DNA that the state has no plans yet to buy back the Versova-Ghatkopar Metro-1. The hall is owned by Reliance Infrastructure-led Mumbai Metro One Private Limited (MMOPL).

As a consequence, curiously, Metro-1 would be the solely Metro hall to not be dealt with by the MMOCL. The Mumbai Metro Operation Corporation Limited (MMOCL) was shaped just lately so as to put all Mumbai Metropolitan Region (MMR) Metro corridors below one umbrella company.

The 12-km-long Metro-1 between Versova-Andheri-Ghatkopar was constructed upon a Public Private Partnership (PPP) mannequin in 2014. It is operated by the MMOPL. Around 69 per cent stakes of the Metro are owned by Reliance Infrastructure, 26 per cent by Mumbai Metropolitan Region Development Authority (MMRDA) and 5 per cent by France-based Transdev, previously Veolia Transdev.

On Wednesday, Chief Minister Devendra Fadnavis, who additionally heads the MMRDA, accepted the formation of a separate firm known as MMOCL with a start-up capital of Rs 5 crore. Besides heading all Metro corridors in MMR, the MMOCL could also be given the cost for working the corridors which might be below development in Navi Mumbai and the Colaba-Seepz Metro-Three underground hall together with all upcoming corridors in MMR.

When requested whether or not the MMRDA or the state authorities has any plans to buy back the Metro-1 from Reliance Infrastructure, Fadnavis mentioned, “Not as yet.”

The Maharashtra authorities together with MMRDA and MMOPL is caught in a tussle over the precise value of development of Metro-1. While MMOPL says it’s over Rs 4,000 crore, MMRDA says it isaround Rs 2,300 crore.

Explaining the identical, a state authorities official mentioned, “Intellectually speaking, it makes sense to buy back the Metro-1 from Reliance Infrastructure but currently the project cost of the same is under arbitration, and also we are pushing for an audit by Comptroller and Auditor General of India (CAG) to ascertain the exact project cost of Metro-1. At this stage, it is very natural that without there being clarity over exact project cost, buy back by the state government will not possible.”

For ten years, the Mumbai Metro-1 challenge has been surrounded in knee-deep controversies ranging from the delay in development adopted by distinction of opinion over the fixing of fare for commuters together with dispute over the ultimate development value of Metro-1.

FUTURE OF METRO

The Mumbai Metro-1 challenge has been surrounded in knee-deep controversies ranging from the delay in development adopted by distinction in opinion over the fixing of fare for commuters together with dispute over the ultimate development value of Metro-1

The Metro-1 simply carries greater than 3.50 lakh commuters every day on a mean throughout weekdays. Commuting by Metro is predicted to enhance drastically within the subsequent 5 years contemplating that greater than 150-km of Metro corridors are under-construction within the Western, Central suburbs and south Mumbai at current.

Intellectually talking, it is sensible to buy back the Metro-1 from Reliance Infrastructure however at the moment the challenge value of the identical is below arbitration and in addition we’re pushing for an audit A state authorities official

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