On the FAST TRACK to BIA

On the
FAST TRACK
to BIA
Delhi Metro Rail Corporation managing director E Sreedharan says bids have been invited for the hi-speed rail facility to BIA and work could start as early as December
TIMES NEWS NETWORK

Bangalore: Work on the high-speed rail link from M G Road to Bengaluru International Airport (BIA) is all set to begin between December 2008 and February 2009. The Delhi Metro Rail Corporation (DMRC), which will bring this facility to Bangalore, has already invited bids and will issue an expression of interest (EOI) in the next 10 days.
DMRC managing director E Sreedharan told reporters on Friday that the contract to build the rail link will be given to the bid winner within 6 to 8 months of issue of EOI. Work is scheduled to conclude by mid-2012. “The plan is to have the airport train ready in 3 1/2 years, but I am confident we can do it in 2 1/2 to 3 years,” Sreedharan said.
The Detailed Project Report (DPR) has been accepted by the state government and a separate corporation for the rail link will be set up. The state government, BIA and AAI will be part of this corporation.
TICKETS: The train, traversing 33 km in 25 minutes, will have tickets priced between Rs 150 and Rs 250. “We have recommended Rs 150 now, though we think there is scope to increase it to Rs 250. Even then, it wouldn’t be as expensive as taxis and the fare will be the same or a little more than that of the Volvo service. Considering air travellers pay high prices, we can levy higher train ticket prices. You travel a long distance in absolute comfort,” he said. The 6-coach train can transport 750 people every trip and have check-in at M G Road and Hebbal, with stops only at Hebbal and Yelahanka.
ELEVATED EXPRESSWAY AND RAIL LINK
Sreedharan said DMRC has worked out the project so that there is no conflict with the planned elevated expressway from Hebbal to Yelahanka. The total cost is Rs 3,500 crore. “The rail link will be profitable even after taking into account revenues expected from the elevated expressway. Both will generate revenue and won’t affect each other. That’s what our study shows,” he said.
REVENUE FROM RAIL LINK
The DMRC study also reveals that companies investing Rs 3,500 crore in the project will get back all their money. “They will start making profit after five years of the project and everything from then over the next 25 years will be their income. We understand that at the end of 30 years, when the companies transfer the ownership of the rail link to the government, they would have made profits at 18% interest.”
The government gets revenue from taxes on income of the companies and other taxes that come into play. The government will not lose a paisa because it’s not investing anything and will get the rail link free at the end of 30 years.
PPP ONLY
The link will be a success in the PPP format because there is scope for levying high fares. Ticket price of Rs 200 to Rs 250 makes it attractive for private parties. The higher ticket price is an assurance that there will be income. As the link is meant largely for air passengers, high prices can and have to be charged. It can only work in this mode.
LAND ACQUISITION
The link will be completed quickly as land acquisition is not a major problem. “As most of the link will be in the middle of the road, we don’t have to worry about land. NHAI would have to work that out, a reason why the expressway could take time,” Sreedharan said.
Land for the depot to park the trains is ready — 25% hectares just outside BIA have been identified and surveyed for DMRC. The land is flat and not being used for agriculture.