Date of Post: 25 Sep, 2017
Mumbai: The MRVC (Mumbai Railway Vikas Corp.) is exploring the possibility of getting suburban locals on lease, instead of buying them, under the third phase of Mumbai Urban Transport Project (MUTP-III). The move is aimed at reducing capital investment & easing the process of repayments.
Mumbai railway infrastructure’s planning & execution body has decided to appoint a consultant to study how feasible the idea is and discuss the operational, financial & regulatory aspects involved.
- Prabhat Sahay, Chairman, MRVC said,“We want to study if it is possible to lease suburban trains, how such a plan can be implemented in Mumbai and what procedures need to be adopted for leasing rolling stock.”
- Leasing rolling stock — any vehicles that move on a railway — could save a lot of initial capital investment & the earnings from the initiative would help them make payments, he added.
- The Indian Railways (IR) has taken rolling stock on lease from the Indian Railway Finance Corporation.
- MUTP-III To Improve Suburban Connectivity
- The state government & Indian Railways have undertaken the MUTP-III to improve suburban connectivity in the Mumbai Metropolitan Region.
- The estimated cost of the project is Rs 10,950 crore (approx US$ 1684.6 Million), of which suburban locals are expected to cost Rs 3,491 crore (approx US$ 537 Million).
- MRVC planned to get 47 air-conditioned 12-coach locals as part of this project.
- Under MUTP-I & MUTP-II, the MRVC bought non-air-conditioned locals from the ICF Chennai, fitted with electric systems from Siemens & Bombardier.