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Vol. XXVI No. 09, August 16-31, 2016

Metrorail to spread further..but several questions remain

by The Editor

metrorail

At long last there are plans to expand the Chennai Metrorail Limited (CMRL) network to make it a public transport system that will cover a large section of the city. It is ­reliably learnt that even as Phase 1 of the Metro is nearing completion, work is underfoot on surveying the rest of Chennai for a second and more ambitious phase. This is being undertaken by RITES (formerly Rail India Technical and Economic Services) Limited and will soon be submitted to the State Government. This is to the good, but speedy action in implementation will hold the key to making it an effective ­solution.

Phase 1 of CMRL, which will connect Washermanpet to Chennai Airport via two ­corridors, is present becoming operational in phases. It has ­suffered a number of delays because of land acquisition, vendor defaults, prolonged neglect owing to change of party in power, and technical issues. ­After much cost escalation due to these reasons, the entire line is expected to be fully operational by 2017. It is in the light of this track record that the next phase is to be viewed.

Phase 2 is envisaged in three corridors. The first, will be from Madhavaram Milk Colony in the north to SIPCOT in Sho­linganallur, via an eastern alignment, traversing Peram­bur, Otteri, Purasawalkam, Chetpet, Nungambakkam and then onwards via south Chennai. This will span 44.3 km and have 45 stations. The second will connect the same end points but on a western alignment, via areas such as Villivakkam, Anna Nagar, Ramapuram, Nan­dam­bakkam, St Thomas Mount and onwards. This will span 44.6 km and 42 stations. A smaller third corridor will be on a east west axis, connecting Lighthouse at the Beach to the mofussil bus station at Koyambedu. This will have 17 stations and span 15.7 km.

Much of these corridors is planned to be underground. Therein lies the rub. The current phase has a mix of tracks above and below the ground.

The average cost comes to around Rs 300 crore per km of work done, the above ground cost coming to Rs 150 crore/km and the below ground around Rs 400 crore/km. If Phases 2, 3 and 4 are all largely subterranean, the expenses will be at the higher end. That means the Government will have to be ready with the funds. It is understood that like Phase 1, the other phases will also be funded with Japanese assistance. That may not be much of an issue as financial institutions in the ­developed world are keen to ­associate with projects in emerging nations, chiefly with an eye on earning higher rates of return. What is more important is that CMRL focuses on completing the latter phases ­according to planned deadlines. Each month of delay in complet­ion will only push the costs higher. If these are to be recovered, it would mean more ­expensive fares and if these are not attractive, commuters may still continue to use private transport. To what purpose, then, such an investment? It is high time that our State ­authorities wake up to the ­importance of deadlines and the financial impact of non adherence to them.

There is yet another aspect that the new plan is silent on. It was announced just as a couple of months ago that the Mass Rapid Transport System that operates from Beach station to Velachery would eventually be merged with the Metrorail. If that were to be done, execution of large part of Corridor 3 would be completed very soon with probably not much of a cost outlay. What happened to that idea? Perhaps the feasibility ­report when it is out will cover this aspect as well.

In the ultimate analysis, the Metrorail will be an immense boon to the city and help ­improve its public transport ­system. The five corridors would together account for 104 km of the city. It is to be hoped that the plans materialise into rea­lity soon.

…but several questions remain

It is heartening to note that the present regime in our State has taken up the task of getting on with the completion and enlargement of the city’s Metro rail network in right earnest. This contrast with the complete lack of interest it displayed towards the project for unknown reasons five years ago. The present sense of urgency augurs well and may mean that we will have an operational ­system sooner than we think. At the same time, the project is likely to run into some rough weather, chiefly because the principal stakeholders, namely the Centre and State, are having some differences of opinion on accountability and conseq­uent cost apportionment.

A few years ago, the very likelihood of the powers-that-be inaugurating the first ­section of our Metro rail ­appeared remote. The tracks and rolling stock had been tested and waited for months on end ­before the flagging off actually took place amidst much fanfare. It was then said that the party in power was not so keen on seeing the project come to fruition chiefly because the idea of a Metro service for Chennai was that of a political rival that had previously been in office. Now, however, sentiments appear to have done an about turn. The ­ongoing Assembly session ­witnessed heated exchanges between the two principal ­parties, each one claiming credit for the Metro rail. While we applaud this eagerness, we would like to sound a word of caution – the currently operat­ional section is a mere ­fraction of what has been planned and the eventual success or failure of the Metro service depends on effective and speedy execut­ion of the remaining portions. It would be wise to recall here that the much older MRTS is still a relatively poor performer, chiefly because of great delays in its execution leading to cost escalations and also because of very poor last mile connectivity’.

It would also appear that the State Government is having some concerns regarding the ­liability it faces on account of the Metro rail. It has demanded that the Memorandum of ­Understanding on the Metro rail signed in 2011 between the State and the Centre needs a relook on certain clauses. The first of these concerns land ­acquisition. This is present to be borne entirely by the State. In addition, acquiring of any land owned by the State for the Metro is to be free of cost while if any space belonging to the Centre is to be taken over, ­compensation at market rates has to be paid. This the State Government feels will skew its debt. Likewise, all escalation in cost of executions and the ­burden of any exchange rate fluctuations are to be borne by the State Government. Cash losses in ­operations are also to be the State’s burden.

On the other hand, as and when Chennai Metrorail makes a profit, the Centre will be ­entitled to a dividend. Moreover, the railways have retained surface rights on all land they have leased to Metro Rail for underground work. The lease, which is for 35 years, is at ­market value. The State has questioned the logic behind this, arguing that if surface rights were retained, the lease ought to be at nominal rates.

It must be pointed out here that the MOU was signed ­between the Centre and the State in 2010, when the present regime’s rival was in power. While the present demand for revision of the MOU may be to settle political scores, it cannot be denied that the points set forth are logical. The Centre is yet to respond. An impasse over this could lead to delay in completion of the Metro. Are we to wait forever for a reliable and well planned public transport system?

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