MMRDA approves cost hike for two packages of Mumbai Metro-7, but says overall cost won’t be hit

The Mumbai Metropolitan Region Development Authority (MMRDA) has approved cost variation amounting to around ₹200 crore for two packages along the upcoming Metro-7

The Mumbai Metropolitan Region Development Authority (MMRDA) has approved cost variation amounting to around ₹200 crore for two packages along the upcoming Metro-7 (Dahisar East-Andheri East) corridor in its recent executive committee meeting. The MMRDA, however, stated that the variation will not affect the overall cost of the project expected to be operational by May 2021.

The project is expected to be operational by May 2021. (HT Photo)

According to the minutes of the meeting accessed by HT, package two of the corridor was awarded at ₹360 crore earlier and 90% of the work has been completed. This package stretches from New Ashok Nagar to Mahindra and Mahindra.

However, owing to the extra work undertaken, MMRDA has approved a cost variation of 32% or ₹116.12 crore. The minutes reveal how the extra work was undertaken before the Maharashtra state assembly elections in 2019. For instance, the agency had built a metro car unit exhibition centre at the MMRDA grounds in the Bandra-Kurla Complex (BKC) for ₹11.75 crore, with a train prototype that was unveiled by Prime Minister Narendra Modi then.

It also stated that MMRDA has approved a cost variation for package 3 by ₹79.79 crore. This package stretches from Mahindra and Mahindra to Dahisar East.

Overall, 81% of the civil construction work along the corridor has been completed. RA Rajeev, metropolitan commissioner, MMRDA, said the variation will not impact the projected cost of the metro line, which is ₹6,208 crore.

Rajeev said, “It is a huge project with several components like land acquisition, system works, civil construction. So we will save costs in one of these components, which will compensate for the variation. There is no escalation in the overall project cost.”

The commissioner also said that MMRDA is expecting the first prototype of the metro trains to be in Mumbai by the end of December, following which trial runs will be undertaken in January 2021. “Once the train arrives, we will have to undertake system integration works. We expect to start trial runs in January, which will go on for three months, post which, we will commence operations by the end of 2021.”

Currently, Mumbai has only one operational metro line, the Mumbai Metro-1 (Versova-Andheri-Ghatkopar), which was inaugurated in 2014.