Hyderabad Metro Phase 1 takeover to be completed by March 31
Hyderabad: Hyderabad Metro Rail Limited (HMRL) has stepped up efforts to take over the Phase 1 metro project within the stipulated deadline. A financial and legal study is currently under way under the supervision of IDBI Consultancy, while a separate technical consultancy will soon be appointed to examine train operations and systems, HMRL managing director Sarfaraz Ahmed said.
Technical study on operations soon
Speaking to Reporter, Sarfaraz Ahmed said the technical consultant would be appointed within 10 days. The study will cover metro train operations, technical systems and long-term maintenance requirements. At present, metro services on all three corridors are being operated by Keolis, which oversees drivers, technical staff and rolling stock maintenance. The existing contract may be extended for another year.
However, with both Phase 1 and the proposed Phase 2 being developed as fully government-owned projects, the technical study will provide direction on future operational needs, he said.
Assets, land to be taken over
The Phase 1 metro was built under the public-private partnership model by Larsen & Toubro, which announced its exit from the project in September this year. Following this, the state government expressed its readiness to take over the project, and an agreement was reached between L&T and the government. A committee headed by the Chief Secretary is overseeing the takeover process.
Under the agreement, land, buildings and malls handed over to L&T for transit-oriented development will be taken back soon. About 212 acres of land are currently available, Sarfaraz Ahmed said. Revenue is also proposed to be generated by selling malls and other assets located along the three corridors.
As per the agreement, the government will pay ₹2,000 crore to L&T and also take over bank loans of about ₹13,000 crore. Revenue from the sale of acquired land and assets is expected to partly offset this burden.
Phase 2 on track, Centre positive
The HMRL MD said the Centre has responded positively to Phase 2 of the metro project, raising the possibility of launching work on all corridors simultaneously once approvals are in place. Phase 2 will be taken forward based on the detailed project reports already submitted to the Centre.
Since the government is taking over Phase 1, there will be no hurdles for Phase 2 construction, he added.
Land acquisition requirements for Phase 2 are expected to be limited. Nearly 70% of land acquisition will be required in the LB Nagar and Chandrayangutta stretches, while the remaining corridors will need only about 30%, officials said.
Old City road widening nearing completion
Sarfaraz Ahmed said land acquisition for road widening along the 7.5-km stretch from MGBS to Chandrayangutta is almost complete. Of the 880 identified structures, around 700 have already been acquired and demolished. Efforts are on to acquire the remaining 180 properties.
Once central approval is received, work on the Old City metro corridor will be taken up first. Land acquisition will also be required for the proposed LB Nagar–Hayathnagar corridor under Phase 2.
Metro corporation on DMRC lines
The state government is also planning to set up a separate metro rail corporation, with full autonomy over operations and finances, on the lines of the Delhi Metro Rail Corporation. After completion of all works, the proposed corporation will oversee both Phase 1 and Phase 2 operations.
Officials said legal assessment of assets being taken over from L&T has been entrusted to IDBI Consultancy and is expected to be completed within two months. A separate consultant will be appointed for technical assessment, with the entire process targeted for completion by March.
