Wednesday, December 28, 2005

Metro project may be delayed further

Metro project may be delayed further
Deccan herald

The proposed Bangalore Metro project is headed for another round of delay. After the PIB cleared the Rs 5,747-crore urban transport venture, the Union Government has referred the matter to a Group of Ministers.....

The proposed Bangalore Metro project is headed for another round of delay. After the Public Investment Board (PIB) cleared the Rs 5,747-crore urban transport venture, the Union Government has referred the matter to a Group of Ministers.

Disclosing this in an exclusive chat with Deccan Herald, Union Urban Development Minister S Jaipal Reddy said the GoM would consist of himself, Agriculture Minister Sharad Pawar, Finance Minister P Chidambaram and Planning Commission Deputy Chairman M S Ahluwalia. Mr Reddy said the GoM would go specifically into two issues: the legal cover and the type of gauge (track) required for the Bangalore Metro —whether it is broad gauge or standard gauge.

It will not discuss the funding aspects. “After the PIB meeting, we felt it necessary that a GoM be constituted to thrash out these issues. We will hold the meetings quickly and bring the case before the Cabinet committee for economic affairs”, he remarked. According to him, while the Bangalore Mass Rapid Transit Limited (BMRTS) which will implement the project and the Delhi Metro Rail Corporation (DMRC) which prepared the project report for Bangalore Metro (BM), were strongly for SG, the Railway Ministry was in favour of BG for the IT City. “DMRC chief E Sreedharan met me and he is all for SG for Bangalore”, Mr Reddy said.

He said under the legal cover, the GoM will suggest whether the BM should be executed under a Central Act (meaning Railways Act) or through a state law. The local law in Karnataka is the Mysore Tramways Act. Asked whether the GoM will go into the issue of allocation of funds for the project, the minister replied in the negative.

“The Centre has now agreed to share the financial burden and the state government should have no problems with that”, he opined. This newspaper was the first to report that the Finance Ministry has agreed to share the escalation cost of the project.Mr Reddy, admitting that he was not fully aware of the details of the project since he took over the ministry only a month ago, said the GoM would hold a couple of meetings and make suggestions to the CCEA.

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