Hyderabad Top News

CM Revanth Reddy responds to L&T’s statement on exiting the Hyderabad Metro

Revanth Reddy

HYDERABAD: Chief Minister Revanth Reddy dismissed L&T’s warning of selling the Hyderabad Metro Rail project due to losses from the state government’s Mahalakshmi free bus scheme for women. Revanth Reddy said we can’t stop Mahalakshmi scheme just because of L&T’s losses.

L&T operates the Hyderabad Metro Rail in a public-private partnership. Reacting to L&T’s recent statement regarding the exit of Hyderabad Metro, Revanth Reddy replied, “We are not bothered about L&T’s profits and losses. Let them go. We will explore other options. If one contractor goes, another contractor will come. It’s not a big deal.”

In a recent interview with Business Today TV, R Shankar Raman, President and CEO of L &T, revealed that company is planning to sell off Hyderabad metro after 2026. Shankar Raman also mentioned that the Hyderabad Metro Rail’s ridership had suffered due to the Mahalakshmi scheme. He noted that women were opting for RTC buses over the Metro Rail, leading to losses, and L&T was contemplating exiting the project.

Raman also mentioned that TSRTC is facing challenges with the scheme offered by the state government. This initiative has put a significant strain on TSRTC’s finances, leading to overcrowded buses due to the free service. Moreover, the rising maintenance expenses are pushing RTC towards financial collapse.

CM Revanth Reddy backs Mahalakshmi scheme

During a casual conversation with journalists at his home, the Chief Minister stated that the Congress administration focused on the well-being of the public rather than corporate policies. “The Mahalakshmi scheme is a huge hit. Every day, nearly 30 lakh women utilise free bus travel on average. We can’t stop this scheme just because L&T is facing losses.”

Referring to Shankar Raman’s remark that the free bus ride scheme was not ‘sustainable’, Revanth Reddy said, “Governments do not function like corporates. They don’t look at balance sheets or profits and losses in whatever they do. Welfare of people, especially women, is the top priority of the Congress government. We will continue this scheme come what may. We are reimbursing funds to TSRTC every month promptly and ensuring that TSRTC does not land in a financial crisis due to the free bus scheme.”

 

For more hyperlocal news in Hyderabad, please bookmark https://hyderabadmail.com/ website