Mumbai Metro woes: RInfra claims law puts fare in its ambit, govt wants final say

Written By Unknown on Minggu, 08 Juni 2014 | 22.23

MUMBAI: Mumbai's first Metro service will open for commuters at 1pm on Sunday, but a controversy over the tariff may keep chief minister Prithivraj Chavan away from the inaugural ceremony. The CM has threatened to skip the function if the Reliance Infra promoted Mumbai Metro One Pvt Ltd (MMOPL) ignores the government-suggested fare structure.

None of the representatives of the state government or Mumbai Metropolitan Region Development Authority (MMRDA) — which has 26% stake in the project — were present when RInfra announced the date to roll out the Metro service.

Chavan had earlier in the day said, "I will inaugurate the city's first Metro service on Sunday but only with a precondition that it should be run as per the tariff originally agreed to between the operators and the government."

But late-night reports suggested that he would attend the ceremony despite the absence of a resolution on fares.

Abhay Kumar Mishra, CEO of MMOPL, said, "We have decided to fix a promotional fare of Rs 10 for the first 30 days for a single one-way trip between any stations."

Lalit Jalan, CEO, RInfra said, "We had introduced promotional fare in Delhi, too. But it does not mean the regular fare structure will come into effect automatically after 30 days. We will take a call on this at an appropriate time."

The promotional fare is less than the average fare proposed by the state government. The bone of contention between the state government and the MMOPL is the final fare structure.

MMOPL has cited section 34 of the Metro Act, which gives it, as operating authority, the power to fix the initial fare structure. MMOPL has fixed Rs 10, 20, 30 and 40 depending on distance, but the state government is insisting on a minimum and maximum fare between Rs 9 and Rs 13. Mumbai Metro One Private Ltd has insisted that the Mumbai Metro is governed by the Metro Act according to the notification issued in 2009, so it can decide the fare. "The concession agreement cannot supersede the Act passed by Parliament. We are going by the law."

Abhay Kumar Mishra, chief executive officer, Reliance Metro, said, "In 2004, when we took an estimate of the Metro fares, the government had envisaged the tariff to be 1.5 times BEST bus fares. The bus fare between Versova and Ghatkopar is in the range of Rs 6 to Rs 25. If we multiply this by 1.5, the fare comes to around Rs 10 and Rs 40." He added, "The operation and maintenance cost estimated in 2007 for 2014 was Rs 100 crore when inflation was 3-4%. But the actual cost is Rs 240 crore. The detailed project report says the fare can change in case of an unanticipated cost rise."

Over the years, the cost of the project has increased to Rs 4,321 crore from Rs 2,356 crore.

But chief minister Prithviraj Chavan has said if Metro developers want the new rates, they must take permission of the government's tariff fixation committee.

"We will have no objection if they get permission to hike tariff and then charge new rates," he added.

The CM agreeing to flag off the first ride after a day-long standoff and Metro One's promotional fare for the first month indicate a broad then charge new rates," he added. This is the first mass rapid transport system project connecting the eastern and western suburbs.

Travel time between the two areas by road can currently take anything between 90 to 120 minutes.

The Metro will reduce this to a mere 21 minutes.

The work on the project began in February 2009, but progress was slow because of right of way issues, lack of approval from railways, etc.

The system will initially be able to handle 7 lakh commuters work began in February 2009, but progress was slow because of right of way issues, lack of approval from railways, etc. There will be 270-280 services per day from Monday, when the trains start journey from 5.30am to midnight. BJP MPs detained over protest G hatkopar police on Saturday detained two BJP MPs and two party workers for an hour. They were protesting with 300 other party activists outside the metro rail in Ghatkopar and Saki Naka.

The agitation was led by MPs Kirit Somaiya and Gopal Shetty, demanding a 50% reduction in the current ticket fare. "The protesters demanded that the metro start its service on Sunday and the fare be reduced. It was an illegal gathering," said Ghatkopar police senior inspector Rajaram Vhanmane.

"They were detained as a precautionary measure under section 68 of the Maharashtra Police Act and released under section 69," said Vhanmane.

http://timesofindia.indiatimes.com/followceleb.cms?alias=Mumbai Metro woes,Mumbai Metro One Pvt Ltd,Mumbai metro


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