Metro Phase-I takeover and Phase-II expansion stall over funding dispute
Hyderabad's metro rail plans have hit a funding wall: the Phase-I takeover from L&T and the long-delayed Phase-II expansion are both stalled over money.
The takeover involves an equity payout of Rs 1,461.47 crore to L&T along with refinancing of Rs 13,538.53 crore in debt, while the Centre has said it will not sign the Phase-II joint-venture agreement until Phase-I sits under a single operating entity.
Chief Secretary Sanjay Jaju has held stakeholder talks in Delhi, Mumbai and Gujarat, even as L&T Metro Rail Hyderabad — which has run the network since November 2017 — is expected to get another three-month extension. About five lakh commuters use the metro every day.
Originally reported by ScoopFeeds. Article compiled by the Deccan Age desk.
