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HindustanTimes Sun,31 Aug 2014

Developer sticks to his guns, won’t start work on Metro-II

Dharmendra Jore, Hindustan Times  Mumbai, October 04, 2012
First Published: 01:10 IST(4/10/2012) | Last Updated: 01:11 IST(4/10/2012)

Metro Line-II is likely to be delayed further because the developer — Mumbai Metro Transport Private Ltd (MMTPL) — has told the state government and Mumbai Metro Rail Corporation (MMRC) that it would start work only when agreement conditions are fulfilled completely and the constraints being faced by the project are resolved.

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MMPTL, a company of Reliance Infrastructure, said this in response to MMRC’s directive last month that construction of the Charkop-Bandra-Mankhurd line be started immediately. “It is indeed shocking that the MMRC has chosen to take such a stand, while conveniently overlooking/ignoring the fact that the government and MMRC have failed to fulfill their obligations as set out on the concession agreement.”

The 32-km corridor will have 27 stations, and is expected to cost between Rs. 8,450 crore and Rs. 11,000 crore.

MMRC, a subsidiary of the urban planning body — the Mumbai Metropolitan Development Authority (MMRDA) — had warned the developer on September 6 that it would initiate action if it did not start work immediately.

The MMRC letter said that the administration would initiate action in keeping with the agreement, without prejudice to the MMRDA's right to claim damages for delay in commencement of work. But in its response, the developer told the MMRC, “The delay is solely attributed to the continuing failure (in fulfilling the agreement conditions), and the delay has resulted in substantial increase in the project cost.”

MMRDA’s joint project director (public relations), Dilip Kavathkar, said that the MMRC would try to resolve the issues raised by the developer as early as possible. “In the meantime, we expect MMTPL to start construction work without any further delay.”


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