A month after it announced the ticket fare for the new Mumbai metro, the metro administration has agreed to lower its initial fare.
The Mumbai Metro One Pvt. Ltd. (MMOPL) on Monday gave a statement in front of the division bench of the Bombay High Court, agreeing to keep the ticket fares in the range of Rs 10 to 20. Initially the fare was fixed between Rs 10 to 40. The reduced fares will be effective from July 8 till July 31.
Two weeks ago, the High Court had dismissed a petition filed by the Mumbai Metropolitan Region Development Authority (MMRDA) challenging the ticket fares. However, the State government agency later approached the division bench against the verdict.
Senior counsel Aspi Chinoy appearing for the MMRDA argued that as per the original tender the MMOPL can increase the fare only after the approval of the Fare Fixation Committee (FFC) and till then it will have to charge the fare mentioned in the tender, which is in the range of Rs 9 to 13. “The FFC will come in to effect in 90 days. Then what prevents the MMOPL from adhering to tender for that time?” he asked.
Senior counsel Janak Dwarkadas, who appeared for the MMOPL, said that despite repeated reminders from their side, the State government delayed in appointing its representative on the FFC. “It is not an arbitrary exercise. The construction cost of the metro has increased than original estimate and despite raising the ticket fare to Rs 40, we will experience the loss of Rs 113 crores,” he said.
Taking a suo moto cognisance in the formation of the FFC, the division bench of Chief Justice Mohit Shah and Justice M.S. Sonak made the State and the Central governments as the respondents in the case. After which the metro administration agreed to lower the rates. The next hearing of the case will be held on July 24.
