BHOPAL (Metro Rail News): The Madhya Pradesh government will sign a memorandum of understanding with the Union government in New Delhi on Monday for the development of Metro rail in Bhopal and Indore.
The move will officially pave the way for the Madhya Pradesh Metro Rail Company Limited’s to access loan from foreign funding agencies. The two projects are pegged at Rs 14,400 crore and likely to be completed in four years. MP urban development minister Jaivardhan Singh and senior state government officials would be present on the occasion.
“It is the official go-ahead for the project in Indore and Bhopal. Foreign funding agencies are on board,” said MP urban administration and housing development, principal secretary and MPMRCL MD, Sanjay Dubey
The projects will be part-funded by the central and state governments, besides loans from Asian Development Bank (ADB) and New Development Bank (NDB) for Indore Metro and European Investment Bank (EIB) for the Bhopal Metro.
The inking of MoU removes the final hurdle in the construction of the two projects. Both projects had to be reworked after the Centre announced a new Metro policy for 2017. It also opens a window for private investments in Metro operations by making private participation mandatory for availing central assistance on Metro projects.
The Union government’s financial support to the metro rail project is expected to be 20%. In October 2018, ahead of the state assembly elections, the Union Cabinet had given in-principle approval for the twin projects. Since then, the first civil work package which includes soil testing and laying of groundwork for Bhopal and Indore metro rail project has begun.
The Indore project will run along the Ring Line (Bengali Square – Vijay Nagar – Bhawarsala – Airport – Patasia – Bengali Square). The total number of stations on the line are 30. Bhopal project comprises two corridors of a total length 27.87 Km — Karond Circle to AIIMS (14.99 Km) and Bhadbhada Square to Ratnagiri Tiraha (12.88 Km).