Source : The Times of India | Dated : November 10, 2020
Tata Group to invest ₹5,000 cr to set up phone component plant for Apple in TN
CHENNAI: The 119 km phase-2 metro rail project that will connect core city localities with the suburbs has got a major push from the Centre, with the ministry of commerce and industry listing it under the National Infrastructure Pipeline (NIP) to attract global investors. The construction for the project, estimated to cost more than Rs 69,180 crore, is expected to begin in early 2021 with a deadline slated for 2026.
The project, listed in the India Investment Grid website aimed at attracting global investments for infrastructure projects in India, has its status marked as ‘under development’ with the detailed project report approved. While the total cost of the project is US $9.36billion (Rs 69,180 crore), the website adds that a US$ 13.53million (Rs 100 crore) of project cost is incurred till August 31, 2020. It adds that required land has not been fully acquired yet.
CMRL requires 117.12 hectares for constructing the three corridors, including 260.7 acres for the 52.1km priority corridor from Madhavaram to Sholinganallur on corridor 3 and Madhavaram to CMBT on corridor 5.
The project is expected to be implemented under engineering, procurement and construction (EPC) mode, where the contractor would be involved in the design, procurement, construction, commissioning and handover of the project.
Phase-2 has already received funding from international agencies including JICA, which has agreed to loan Rs 20,196 crore for the priority corridor and AIIB agreeing to fund US$ 795.4 million (around Rs 6,000 crore) for the construction of 16km from Meenakshi College to Poonamallee bypass on corridor 4 and from CMBT to Sholinganallur covering 26km on corridor 5. In June 2020, it was reported that ADB will begin evaluation on a US$ 780million (approximately Rs 5,890 crore) for 10km from Lighthouse to Meenakshi College on corridor 4 and another 10.13km between Sholingallur to Sipcot on corridor 3.
Officials said 60% of the Rs 55,457 crore for the project is expected from funding agencies while 20% each will be borne by the Centre and the state. In its website, CMRL said the screening committee of DEA has accorded in principle approval for funding of the entire corridor-4 and balance section of corridor 3 and 5, and posed for funding from multilateral banks ADB, AIIB, NDB. The multilateral banks have completed their preliminary mission programme and signing agreement with them is under process.
Recently, the project attracted global attention with top construction and consultancy firms from Korea, Japan, Europe and US bidding for the construction of 26.1km corridor 4 from Lighthouse to Poonamallee, which will be connecting city’s core localities such as Mylapore, Nandanam, T Nagar, Kodambakkam, Vadapalani with developing IT hubs of Porur and Poonamallee.
CMRL has so far invited nine construction bids, which are under different stages of tender process. With the pandemic pushing many projects across the world to the backburner and absorbing the funds, CMRL officials said they would have no issues in receiving funds from the agencies. “We may require our government funds only in the later stages of the project, so we have time,” an official said.