State to provide Rs 21.30 cr as interest-free loan assistance for the total Rs 333.60 cr project
Urban Development Department (UDD) of State Government has given its nod to extension of Nagpur Metro to connect Nagpur with air-conditioned broad-gauge metro train instead of passenger train. The UDD nod has come after more than one month since the State Cabinet decision. Anil Deshmukh, Home Minister, stated that he had been following up the matter and now the project would move ahead.
“Urban Development Department of State Government has granted approval to submission of detailed project report of Maha Metro in this regard to Central Government. Besides, it has given approval to making available Rs 21.30 crore as interest-free loan assistance for the project. A Government Resolution in this regard has been issued on November 19. I am working to ensure completion of the project at the earliest to benefit areas around Nagpur,” Deshmukh stated in a press note said.
As per the Government Resolution (GR) issued on November 19, State Government’s interest-free loan assistance includes two components. One is Rs 7.10 crore, which is 50 per cent from Central taxes. Another is Rs 14.20 crore, which is 100 per cent from State taxes. “Post facto approval is being granted to memorandum of understanding signed between Maha Metro, State Government, and Indian Railways on July 16, 2018, with the condition that there will be no further financial or other responsibility on Maharashtra Government,” stated the GR.
Further, the GR stated, nod is being given to submission of the detailed project report to Central Government for further action, with a condition that prior approval of State Government would be obtained for the agreement to be done with Indian Railways for operationalisation of the project. The project is estimated to be Rs 333.60 crore. Of this, expenditure of Rs 305.20 crore would be met from the savings from financial assistance approved by KfW for Phase-I of Nagpur Metro Rail Project. To secure approval for the same, State UDD has authorised Maha Metro to carry out necessary correspondence with Central Government and KfW.
It may be recalled here that Maharashtra Cabinet, on October 14, gave its nod to extension of Nagpur Metro to connect cities near Nagpur with air-conditioned metro train instead of passenger train. The project will connect Nagpur with Bhandara, Wardha, Ramtek and Narkhed through broad gauge network connected to Nagpur Metro network. The proposed Broad Gauge metro project will be the first such service in the country, Maha Metro had claimed then. The main objective of this project is to utilise the existing infrastructure of Indian Railways by providing air-conditioned, fast, reliable and comfortable service between Nagpur and four satellite cities. The broad gauge metro project will act as feeder service for Nagpur Metro. The route-wise details of project
Route Length No of stations
Nagpur-Wardha 78.8 km 12
Nagpur-Narkhed 85.53 km 11
Nagpur-Ramtek 41.6 km 08
Nagpur-Bhandara 62.7 km 11
(* As per the GR dated November 19, 2020, issued by Urban Development Department, Maharashtra)