Date of post: 12 Feb, 2019
Chennai: Chief Minister K. Palaniswami on Sunday asked the Union government to sanction the phase-2 of the Chennai Metro Rail Project.
In a letter to Prime Minister Narendra Modi, Palaniswami requested him to direct the Union Housing and Urban Affairs Ministry to sanction the metro project’s Phase-2 under a 50:50 JV (Joint Venture) partnership between the Centre and the state governments as was done for Phase I.
- Out of the total project cost of Rs 69,180 crore, the land cost and state taxes amounting to Rs 13,723 crore are being met by the state government, he said.
- The balance cost of Rs 55,457 crore has to be funded by the Centre (20%), Tamil Nadu (20%) and funding agencies(60%).
- The CM said,”Hence the Central funding may be to the order of Rs 11,100 crore spread over 6 years.”
- JICA (Japan International Cooperation Agency) has already approved a loan of Rs 20,196 crore and agreement for the loan’s first tranche has also been signed, he said.
- He said,”Moreover, the Department of Economic Affairs has also recommended funding for this project to the tune of Rs 10,351 crore from the ADB (Asian Development Bank), the AIIB (Asian Infrastructure Investment Bank), the NDB (New Development Bank) and the World Bank.”
To know more about recent developments of Chennai Metro-
11 Feb, 2019: Rs 2,681 crore allocated for Chennai Metro Rail project
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