Days after engineering major Larsen & Toubro sought additional time of more than two years to complete Hyderabad Metro, it has been reported that the delay has increased the cost of the project from over Rs 14,100 crore to an estimated Rs 18,800 crore. The cost escalation is to the tune of over Rs 4,600 crore, IANS reported today. Last week, Telangana Urban Development Minister K T Rama Rao and L&T officials held a press conference and confirmed the cost escalation. They, however, did not give any estimated revised cost of the project.
L&T has sought 'additional financial support' from Telangana to cover cost overruns in the metro rail project that stemmed from delays in its implementation, PTI reported.
Hyderabad Metro is a 72-km long elevated rail line and the largest ever undertaken by L&T. Initially, the project was to be completed by April 2016, but now it will be completed by December 2018. Recently, L&T had asked for additional time of two years. However, the Telangana government agreed to extend the deadline only till November 2018 to complete the project. The Hyderabad Metro project has been divided into three corridors and they will be rolled out in three phases. According to the state government site, first corridor will cover 29 km, second corridor will cover 15 Km and the third will cover 28 km. Prime Minister Narendra Modi will inaugurate the first phase of the project - of 30 km and 24 stations - on November 28.
Informing about the inauguration, Telangana Minister KT Rama Rao on Saturday said: "The metro stretch of 30 kms, to be thrown open for public, would be the longest in the country on inauguration. This will be the longest stretch for any metro in our country being unveiled on day one. After Prime Minister formally inaugurates on November 28, metro services would be opened for public on the next day (on 29th) at 6 am." When asked about the deadline set for the completion of the entire project, he said it is next year. "The Hyderabad metro rail is the largest such project in the world in Public Private Partnership (PPP) mode," the Minister further said.