After over four years of impasse over the construction of the 32-km-long Charkopar-Bandra-Mankhurd metro rail corridor, the agreement between the state government and Reliance Infrastructure (RInfra)-led Mumbai Metro Transport Private Ltd (MMTPL) has finally been terminated.
The Mumbai Metropolitan Region Development Authority (MMRDA) has planned an underground metro rail by merging two earlier proposals – Dahisar-Charkop and Charkop-Bandra-Mankhurd. In fact, World Bank has also shown interest in funding the underground line that has an estimated cost of Rs 28,900 crore.
Why was the project called off?
"Due to non-fulfillment of various critical obligations by the government of Maharashtra and MMRDA, the project could not take off. Even after four years, despite the best efforts by the state, various project impediments could not be resolved," a statement from RInfra said. RInfra had 48% equity in MMTPL in the project worth around Rs 12,000 crore. The other partners in the consortium were MMRDA, SNC Lavolin Inc Canada and Reliance Communication.
What were the hurdles facing the project?
Clearance issues from ministry of environment and forests for a car depot at Charkop and Mankhurd, partial clearance from ministry of civil aviation as the alignment was infringing air funnel at Santa Cruz, impractical height of Kurla station, rehabilitation and resettlement issues at various locations, land under litigation for JVPD Metro Station etc were some of the problems.
What were residents doing?
Residents of western suburbs, under the banner 'Save Our Suburbs', were campaigning against an elevated metro model. Their demand was to have an underground version of the same, which the MMRDA now feels is feasible.
What is the govt reaction?
"The contract on second metro rail corridor for Mumbai was terminated on Tuesday by the Urban Development Department," said a government official. The project was planned to be implemented on a Public Private Partnership (PPP) model, similar to the Versova-Andheri-Ghatkopar rail corridor.
Will RInfra bear incur any loss?
It was mutually decided to terminate the concession agreement at no cost or claim to either party. The bank guarantee of Rs 160 crore will be refunded to RInfra once they claim it. Therefore, with immediate effect the project has been annulled. MMRDA's spokesperson Dilip Kawathkar responded by saying, "A formal communication from MMTPL for return of the bank guarantee is awaited and the procedure to return it will follow immediately thereafter."
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}