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Uttar Pradesh is actively pursuing foreign funds for the ambitious, proposed Lucknow Metro rail project. Three state government agencies are to provide seed capital of Rs 350 crore for the project. UP Housing and Development Board, Lucknow Development Authority and UP State Industrial Development Corporation would contribute Rs 200 crore, Rs 100 crore and Rs 50 crore, respectively towards financing the initial works of the project.
This funding would be spread over three financial years — 20 per cent, 40 per cent and 40 per cent would be invested during 2013-14, 2014-15 and 2015-16, respectively.
“The foreign funding plan is on track. The state is within its right to decide on the funding route it opts for the project,” Madhukar Jetley, adviser to the UP government (externally aided project), told Business Standard.
Recently, a high-powered committee for the Lucknow Metro project, under chief secretary Jawed Usmani, had decided on free transfer of 150 acres in the Chak Ganjaria farms to Lucknow Metro Rail Corporation, to increase the financial internal rate of return to over 8 per cent through commercial use.
Meanwhile, the Detailed Project Report (DPR) had already been forwarded to the Centre for approval. The DPR needs to be examined and approved by various central government agencies before the project starts to take shape.
“We are heading fast towards the conclusion of the regulatory approvals for the Metro rail project. We are confident that the work would start soon,” Jetley said.
Lucknow has a population of over four million. There has been tremendous horizontal growth in the state capital, with rapid development of suburbs. In this scenario, a modern, urban rapid rail transit system is needed in the city, to facilitate faster commuting and to decongest ever-increasing road traffic.
The cabinet approved the development of the first phase of the project, estimated to cost Rs 8,000 crore. The north-south corridor would span 24 km, connecting Lucknow airport to Munshi Pulia and traversing the busiest intersections.
URBAN EXPLOSION
* Lucknow has a population of over four million. There has been tremendous horizontal growth in the state capital, with rapid development of suburbs
* A modern, urban rapid rail transit system is needed in the city, to facilitate faster commuting and to decongest ever-increasing road traffic
