But MMRDA is unfazed

MUMBAI: The state government has denied reports that the Centre may withhold Rs650 crore in Viability Gap Funding for the Rs2,356 crore first phase of the Mumbai metro.

Officials told DNA that since Prime Minister Manmohan Singh himself had inaugurated the project, there was no room for the Centre to back out. “The secretary-level clearance has already come through, and on November 1 there is a meeting with Finance Minister P Chidambaram,” said T Chandrashekhar, MMRDA metropolitan commissioner.

“The Mumbai metro project is bang on target,” he said, “and the initial groundwork has already begun.”

Sanjay Ubale, secretary, special projects, said, “There will be some queries as this is the first metro project funded by public-private partnership.” But he said the issues would be resolved soon. “Let us not forget that the metro, Mumbai Trans-Harbour Link, and Worli-Bandra sea-link projects were mentioned in the 2005-06 Union budget,” he said.