Metro Rail sends SoS signal
Hyderabad: The world's largest public-private partnership project in Metro services - Hyderabad Metro Rail -- is in doldrums as its revenues registered zero with the closure of the services during the last three months from May 25.
Following the shutdown of all main corridors -- Nagole to Raidurg, Miyapur to LB Nagar, Ameerpet to Hi-Tec city and Secunderabad to Mahatma Gandhi Bus station, which had been attracting over one lakh passengers before the corona lockdown, Hyderabad Metro Rail Limited (HMRL) is facing serious financial crunch.
HMRL now wants the state government to come to its rescue and give some special financial package and permit them to operate the services in the next one or two months.
Top officials in the government said that the multinational L&T company, which is the implementing agency of the HMRL, has drawn the attention of the state government towards the financial difficulties being encountered by it.
The financial viability in the construction of the project and running the services will widen if the services remain suspended for longer period. They have lost at least Rs 20 lakh per day during the shutdown period, they said.
The agency's financial commitments, particularly the repayment of loans and interests under the HMRL, have become a problem ever since the Metro services were stopped.
This will have a cascading effect on the progress in the completion of the ongoing corridor works on identified stretches in the Hi-tec city and other parts, the officials feel.
Since the Metro services were suspended, they could not even earn any revenue from the space that was leased to various business establishments.
It had affected the revenue from advertisements also. Since there is no option to recover the revenue losses, the officials said that the agency has requested the State government to come to the rescue of the Metro Rail Authority.
The Metro authorities have apprised Municipal Administration and Urban Development minister KT Rama Rao of the current crisis, the officials said.