Cash-strapped Delhi govt not ready to fund Metro phase-III

Tuesday, April 13, 2010

    
Facing severe financial crunch due to huge spending on the Commonwealth Games  projects, Delhi government today said it will not be able to allocate required funds for the third phase of the Metro network.

Finance minister AK Walia said instead of the city government, the cash-rich Delhi Development Authority should contribute financial resources for expansion of third phase of Metro network.

"We have written to the DDA for funding the third phase of the Metro network. They are earning a lot of money by selling and developing land in the city. They should share their financial resources for expansion of Metro," Walia told reporters.

The DMRC plans to start the construction work on Phase-III by the end of 2010. In Phase-III, the DMRC envisages connecting Jahangirpur with Sarai Kale Khan ISBT, Dilshad Garden with Ghaziabad ISBT, Airport link-Sushant Lok (Gurgaon), Mundka-Delhi border-Bahadurgarh, Badarpur-YMCA chowk and Gurgaon.

Walia said Delhi's contribution for the third phase of the Metro expansion has been estimated at Rs558 crore in the year 2010-11 and Rs2119.50 crore in 2011-12.
The Union Urban Development Ministry had told Delhi that the Centre will contribute half of the total project cost while Delhi government will have to cough up the other half.

The minister said Delhi government would pay its outstanding share of Rs1,417 crore for the completion of the second phase of the network.

Last year, Delhi government had sanctioned Rs3 crore for the preparation of detailed project report (DPR) of the third phase of the Metro network.

Delhi government is going through financial difficulties especially after the Centre substantially curtailed allocation to it in the Union Budget.

Original news source http://common-wealth-games-2010.blogspot.com/2010/04/cash-strapped-delhi-govt-not-ready-to.html