Japan and Government of India signed an agreement on Monday, which will see the project getting a boost thanks to the first instalment of the loan which is to the tune of 71,000 million yen (Rs.4,553 crore),
An agreement was signed between Japan International Cooperation Agency (JICA) and the Indian government in New Delhi, where JICA has pledged the first tranche of the 1.40 per cent, 30-year loan for the mega-infrastructure project.
The Mumbai Metro-3, one of the biggest in the entire planned network, will be the city's first fully underground stretch -- from south Mumbai's tip Colaba to Bandra to Santacruz Airport to SEEPZ in Andheri.
The JICA agreement follows a commitment by Japan vide Organisation for Economic Co-Operation and Development for the first loan instalment signed March 25 this year. The Japanese loan - which would comprise 57.2 percent of the total estimated project cost of Rs.23,136 crore - would be spent on constructing the line, along with tunnels running below the sea creeks, railway stations and allied facilities, rolling stock, system component and consulting services.
With this agreement, the executive agency, Mumbai Metro Rail Corporation will now be a joint venture company of the state and central government. As per present plans, the project will commence this year itself and will be completed in 2020, the MMRDA official said.
The other finance will come from the central and state equity of 10.4 percent each, sub-debt by the central government (4.4 percent), sub-debt by the state (7 percent), property development and impact fee (4.3 percent), stakeholder contribution from the Mumbai International Airport Ltd. (3.4 percent) and MMRDA grant/aside funding (2.9 percent). The project will give a boost to the public transport network in the country's financial capital where the existing roads and railway networks are severely congested owing to lack of space for expansion.
"This is a very crucial project and has got the required impetus. The projects such as these will afford Mumbai the required mobility and bring back the aura it has almost lost in recent times. The financial capital of the country needs such projects", said UPS Madan, Metropolitan Commissioner, MMRDA.
According to Mr Shinya Ejima, Chief Representative of JICA in India, “Providing of loan by JICA to this project would go a long way in addressing the major problem of urban congestion in the city of Mumbai. People spend endless hours on roads, local trains are overloaded. So when the project gets completed, this will help in considerably improving the quality of life of a common Mumbaikar just as Metro has done in Delhi”.
About Metro Line-3
CBS is fully underground corridor of 33.5 km with 26 underground stations. The line starts from Cuffe Parade in the south passes through Worli, Bandra, Domestic and International Airport and terminating at the Santacruz Electronics Export Processing Zone (SEEPZ) near JVLR. The depot is located at Aarey Colony north of JVLR.
The metro line-3 will provide Public Transport direct connectivity to Kalbadevi, Girgaum, Worli, BKC, Domestic & International Airport, MIDC and SEEPZ. The metro line 3 connects major CBDs of Nariman Point, BKC, Andheri MIDC and SEEPZ.
The line will have passenger interchange facilities with Central Railway at CST, Western Railway at Churchgate, Mumbai Central and Mahalaxmi, Metro Line 1 at Marol Naka, Metro Line 2 at BKC and Monorail at Mahalaxmi; all facilities are being designed to provide seamless travel. The implementation will start in 2013-14. GoI approved project completion cost is Rs 23,136 cr. with JICA finance.