Reliance Infrastructure-led Mumbai Metro One again under the dark clouds
It seems that there is Saturn hovering on the Mumbai Metro Project. UPS Madan the metropolitan commissioner of MMRDA (Mumbai Metropolitan Region Development Authority) mentioned that they have decided to challenge a single-bench order of the Bombay High Court on the Mumbai Metro fares in front of a division bench.
The recently commissioned Mumbai Metro has been going through various challenges ever since it was launched and last week, the Bombay High Court had dismissed a petition by the MMRDA challenging the hike in fares.
MMRDA was insistent on an initial fare of between Rs 9-13 based on the concession agreement signed between MMOPL and MMRDA in 2007 however Reliance Infrastructure-led Mumbai Metro One (MMOPL) officials had cited the reasons behind the fare hike. The court allowed Reliance to charge initial fares, of between Rs 10-40, until an independent fare fixation committee takes a decision.
Madan mentioned that they had got the entire project report provided by Reliance examined through an independent agency Louis Berger Group. According to Louis Berger 80%-90% of this increase is due to Reliance wrong project estimations, because of market forces, increase in dollar rates as there were imports involved etc. Hence Madan feels that Reliance cannot blame MMRDA for these reasons and put a burden on the public due to their own mistakes and market fluctuations.
Source- The Financial Express
Maharashtra government and Reliance Infrastructure, MMRDA officials and Reliance Infrastructure, Reliance Infrastructure, Reliance Infrastructure projects, Reliance Infrastructure-led Mumbai Metro One Pvt Ltd
