+
Dr E Sreedharan: Metro-rail projects are facing challenges
Real Estate

Dr E Sreedharan: Metro-rail projects are facing challenges

Popularly known as India’s Metro Man, Dr E Sreedharan, Principal Advisor, Delhi Metro Rail Corporation (DMRC), shares the main challenges faced by metro-rail projects in the present day:  

  • Although the metro is a rail-based transport mode that is technically more advanced and sophisticated, the Government of India (GoI) considers it as state subject, whereas Railway is a central subject. GoI controls all technical parameters, safety certification and sanctioning powers but does not take the responsibility for losses and repayment of loans. 
  • The Central Government does not have a long-term vision or a sound and sustainable policy (the Metro Policy of August 2017 is short-sighted and restrictive) with regard to raising funds for metro construction, meeting operational losses or building up a managerial and technical framework to complete projects in time and within estimated costs.  
  • GoI considers private participation a must in all metro projects knowing-fully well that all PPP metro projects in the country have failed so far. 
  • There is no effort on the part of GoI to reduce unit costs of metro projects through tax concessions or higher equity participation.
SHRIYAL SETHUMADHAVAN

Popularly known as India’s Metro Man, Dr E Sreedharan, Principal Advisor, Delhi Metro Rail Corporation (DMRC), shares the main challenges faced by metro-rail projects in the present day:  Although the metro is a rail-based transport mode that is technically more advanced and sophisticated, the Government of India (GoI) considers it as state subject, whereas Railway is a central subject. GoI controls all technical parameters, safety certification and sanctioning powers but does not take the responsibility for losses and repayment of loans. The Central Government does not have a long-term vision or a sound and sustainable policy (the Metro Policy of August 2017 is short-sighted and restrictive) with regard to raising funds for metro construction, meeting operational losses or building up a managerial and technical framework to complete projects in time and within estimated costs.  GoI considers private participation a must in all metro projects knowing-fully well that all PPP metro projects in the country have failed so far. There is no effort on the part of GoI to reduce unit costs of metro projects through tax concessions or higher equity participation.SHRIYAL SETHUMADHAVAN

Next Story
Infrastructure Urban

Naidu Seeks Rs 563 Crore For AP Sports Infrastructure

Andhra Pradesh Chief Minister N Chandrababu Naidu has sought Rs 563 crore from the Centre to boost sports infrastructure in the state, including Rs 538 crore for stadium development and Rs 25 crore to host the Khelo India Martial Arts Games 2025. Naidu made the request during a meeting with Union Youth Services and Sports Minister Mansukh Mandaviya in New Delhi on Wednesday.The CM urged early completion of Khelo India infrastructure projects in Tirupati, Rajahmundry, Kakinada, and Narasaraopeta, and called for an international-standard badminton training centre and a national aquatic sports hu..

Next Story
Infrastructure Transport

Tough Bidding Norms Slow NHAI Road Project Awards

Stringent bidding rules imposed by the Ministry of Road Transport & Highways (MoRTH) have led to a slowdown in project awards by the National Highways Authority of India (NHAI), despite a robust Rs 3.5 trillion pipeline. According to an HDFC Securities report, the shift to more cautious developer models now favours firms with strong balance sheets, as tighter qualification norms limit aggressive bidders.The revised norms mandate additional performance security, targeting the exclusion of players that previously submitted low bids—often 25 to 40 per cent below NHAI cost estimates—raisin..

Next Story
Infrastructure Transport

Mumbai Gets Coastal Nod for Next Promenade Phase

As Mumbai prepares to open two major sections of its expansive seafront promenade this week, the city’s civic authority has secured a key coastal clearance to advance further construction. The Maharashtra Coastal Zone Management Authority (MCZMA) has approved the commencement of work on the segment between Haji Ali and Baroda Palace, with tendering expected soon after project cost assessments.The promenade, stretching 7.5 km in length and 20 metres wide, is being designed as a flagship open space for walkers, joggers, and cyclists. Two critical stretches—2.75 km from Tata Garden to Haji Al..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?