New Delhi: After years of delay the Bangalore Metro Rail project is finally set to take off with the Centre giving the go ahead signal to the Rs 6,395 crore venture.
The metro project in the Garden City, first proposed in 1982, will now be implemented for a 33 km long route by Bangalore Metro Rail Corporation Ltd (BMRCL), which will be made a joint venture between the Centre and Karnataka government by enhancing authorised capital, sources said.
Currently, Bangalore Metro Rail Corporation is wholly owned by the Karnataka government.
The state govenrment will hold 30 per cent stake (15 per cent each of equity and subrodinate debt) in BMRCL, Centre
will hold 25 per cent (15 per cent equity and 10 per cent sub
ordinate debt).
The remaining 45 per cent stake will be raised as senior term debt.
The Union Cabinet had already given its nod in April this year for the project that is expected to be completed by 2011.
As a part of approval by the Union Urban Develpoment Ministry, the BMRCL board will also be reconstituted with 10 directors, each promoter appointing five directors.
Sources said Secretary, Union Urban Development Ministry will be the Chairman of the Board, while the state will appoint the Managing Director with consent from the Centre.
Keeping in mind the experiences of political wranglings and land acquisition problems that had plagued the project in its concept stage itself, the Centre has proposed setting up of three committees to tackle various levels of management of issues relating to the project, the sources added.
A high power committee to be chaired by State Chief Secretary will be formed to handle implementation issues, including land acqusition, rehabilitation of project-affected persons.
The Empowered Committee for MRTS Project Delhi will be extended to cover Bangalore Metro Porject by including the state Chief Secretary as one of its members, the sources added.
The role of the Group of Ministers set up to take policy decisions and review the progress of Delhi Metro project will also be extended to the Bangalore Metro project, with the State Chief Minister as one of its permanent invitees.
The two corridor project is scheduled to be completed in five years time and will be based on the detailed project report prepared by BMRC in 2003 the sources said, adding the project would have an overall underground length of 6.7 km in the two corridors with a total of 32 stations.
While the state government is expected to waive its taxes and duties, the Centre will not offer any waiver.
The state government will bear any cost escalation due to change in scope or beyond the approved project time-cycle, the sources added.
The Urban Development Ministry has also given approval to BMRCL to raise senior debt without the Centre's approval, although it would need to seek a nod for foreign loans, the sources added.
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