Metro Rail delay will lead to cost overruns: Montek

Apr 19, 2012 - N. Vamsi Srinivas |

Hyderabad

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The Planning Commission deputy chairman Montek Singh Ahluwalia cautioned Chief Minister N. Kiran Kumar Reddy against delay in the execution of Hyderabad Metro Rail project. “The delay in the implementation the project could lead to huge cost over-runs,” Dr Singh told Mr Reddy, when they met on Wednesday to discuss the state plan outlay for fiscal 2012-13.

Dr Singh, however, complemented the state for the project and said that the commission will fully back the state’s efforts in energy and infrastructure sectors. The over Rs 16,000 crore and 71 km long metro rail has already been delayed, initially with due to land acquisition problems and now due to litigation.

The sources in L&T had said that the metro rail could get delayed by at least 12 to 24 months. The project was schedule to be commissioned in 2014. Meanwhile, the Planning Commission on Wedne-sday approved the state’s annual plan outlay of Rs 48,935 crore for 2012-2013. The outlay for this year is 13.8 per cent higher than that of the previous year. It also remained non-committal on according national project status to Polavaram and Pranahita-Chevella. Mr Ahluwalia refused to comment on the issue stating that there were court cases pending in the Supreme Court on these projects.

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