Hyderabad Metro Phase 1 takeover deadline set for March 31
HYDERABAD: The Telangana government has fixed March 31 as the deadline to take over Hyderabad Metro Rail Phase 1 from Larsen & Toubro (L&T), putting pressure on officials to complete the process within the stipulated time.
With the deadline drawing closer, Hyderabad Airport Metro Rail Limited (HAMRL) officials have stepped up efforts to finalise audits and prepare detailed reports on legal and financial aspects. Officials are concerned about whether all mandatory procedures, including auditing and legal due diligence, can be completed within the tight timeframe.
Centre’s nod for Phase 2 linked to takeover process
The urgency stems from the Centre’s position that approval for Metro Phase 2 would be considered only after the state submits comprehensive details of the Phase 1 takeover. As a result, officials are pushing to complete all formalities well before the deadline.
Under Phase 2, the state government has already allocated ₹24,269 crore for 76.4 km across five corridors under Part-A, and ₹5,19,579 crore for 86.1 km across three corridors under Part-B. The Centre and the state have agreed to execute the entire Phase 2 project as a 50:50 joint venture.
State to assume full control from L&T
L&T had earlier informed the government that it would exit metro operations due to mounting losses. Following this, the state decided to take over the entire Phase 1 project.
As part of the agreement, the government will pay ₹2,000 crore towards L&T’s equity share and clear ₹13,000 crore in loans taken from various banks. In parallel, audits are being carried out at a rapid pace on lands and assets allotted to L&T under Transit-Oriented Development (TOD).
IDBI Consultancy to conduct study
To facilitate the takeover within the stipulated deadline, HAMRL officials have initiated a detailed study under the supervision of IDBI Consultancy Services, focusing on financial, technical and legal parameters related to the takeover process.
