Metro goes underground, you foot the bill

Metro goes underground, you foot the bill

Senthalir S. Bangalore

The cost of the underground stretch of Namma Metro is all set to go through the roof. And it's ordinary passengers who'll pay for it as the Bangalore Metro Rail Corporation Limited (BMRCL) will likely jack up fares further.
The BMRCL has estimated that delay in start of work on the underground segment and rise in prices of steel and cement will take the costs up by 60%.
The 8.89 km-long segment (out of a total length of 42 kms for the Metro rail) was estimated to cost Rs 250 crore per km, and the construction of the twin tunnels on the north-south and east-west corridor itself was to cost Rs 1,250 crore when work on the project began in December 2007.
Work on the underground segment was to start in May 2008 but was first put off to April 2009 and is now expected to begin only by June-end this year. The deadline for completion was initially March 2011. But now it is June 2012.
BMRCL floated global tenders for design and construction only in February this year.
While cement prices were at Rs 245 per 50-kg bag in January 2008, they have since shot up to Rs 260, and steel prices have seen an increase from Rs 30,000 per tonne to Rs 34,000.
A top BMRCL official said, "The costs will increase by about 50-60% because of the rise in cement and steel prices, but we will know the exact amount only after the bids are finalised."