Foundation for the ₹8,300 crore Visakhapatnam Metro Rail project to be taken up in public private partnership (PPP) is likely to be laid in February with a view to start operations by December 2023, according to Principal Secretary, Municipal Administration and Urban Development, Karikal Valaven.
He was speaking at a high-level meeting on the Metro project at the VMRDA Office on Wednesday.
‘No land problem’
Mr. Valavan said it was the biggest metro rail project being taken up under the PPP. The Principal Secretary and N.P. Ramakrishna Reddy, Managing Director of Amaravati Metro Rail Corporation, made a presentation on the project to MP K. Haribabu, Government Whip P.G.V.R. Naidu and MLAs P. Vishnu Kumar Raju and Vasupalli Ganesh Kumar.
Mr. Reddy said 92.4 % of the land required was that of the government and hence there was no problem. Permission from the Railways was given and No Objection Certificate from the National Highways Authority of India was awaited. Two depots were proposed for Metro Rail and for one Visakhapatnam Port Trust was allotting land for one depot near the airport. For the other one at Hanumanthavaka, revenue officials were approached.
District Collector Pravin Kumar, Metropolitan Commissioner P. Basanth Kumar and Municipal Commissioner M. Hari Narayanan participated in the deliberations.
Metro Rail is designed on three corridors running for a length of 42.55 km.
Of the cost, ₹ 4,200 crore required for civil infrastructure will be invested by the State government by obtaining a loan from the Korean government besides operations’ support for 10 years to make up for rider-ship shortfall. The non-civil infrastructure cost of ₹ 4,100 crore has to be invested by the private developer.
The government has decided to allow 250 acres of government land free of cost to AMRC for repayment of loan that will finally come to ₹6,500 crore in 20 years.
Separate tenders
AMRC will call for separate tenders for development of commercial and residential properties, malls and IT SEZs to earn revenue for the repayment of the loan.
As per the new Metro Policy, the Union government gives a grant of 10 % of the investment being made by the State government.
Request for Proposals have been issued to Shapoorji Pallomji, Adani Private Limited, TRIL Urban Transport Private Limited, ESSEL Infra Limited and IL & FS Rail Limited and the last date for receiving the bid documents is January 21.
Mr. Haribabu assured his support to the project as per the New Metro Policy under which 10 % of the State government investment would be footed by the Union government, it was learnt.
Mr. Vishnu Kumar Raju wanted the Metro Rail extended up to Anandapuram in view of the location of engineering colleges and government housing coming up at Kommadi and Madhurawada. The Collector asked the MD to consider it in view of the Greenfield airport proposed and the six-lane highway coming up.
