Due to poor planning, execution and delay in completion of projects, the Delhi Metro Rail Corporation (DMRC) is operating at a huge loss. Despite an increase in the ridership every month, DMRC ran into losses of around Rs 100 crore in 2013-14. DMRC has taken Rs 18,324.80 crore in loan
from Japan International Cooperation Agency (JICA) till March 2014 and has repaid Rs 1,925.77 crore to JICA. Most of DMRC projects are running behind schedule and the same has resulted in escalation of cost. The Pioneer has accessed the Directors’ Report 2013-14 on financial health of the Delhi Metro, which reveals that there was a net loss of Rs 99.80 crore.
“The total revenue generated was Rs 3,198.02 crore inclusive of income from traffic operations, real estate, consultancy and external projects as against Rs 2,687.48 crore in the previous year. The total expenditure incurred in the same period was Rs 2,135.93 crore giving a profit before depreciation & amortisation expenses, finance cost and tax amounting to Rs 1,062.08 crore. After adjustment of depreciation and amortisation expenses and finance cost amount to Rs 900.78 crore and Rs 222.04 crore respectively, a loss amounting to Rs 60.73 crore was incurred during the year. Further after providing for wealth tax and deferred tax liability amounting to Rs 0.25 crore and Rs 38.82 crore respectively, there was a net loss of Rs 99.80 crore despite increase in the revenue from traffic operation,” the report said.
The report further stated that under the business head traffic operations Rs 1,645.40 crore was earned during the year, against which expenditure incurred was Rs 988.17 crore yielding an operating profit of Rs 657.23 crore.
According to report, Delhi Metro has received soft loan from JICA amounting to Rs 2,287.35 crore in the year 2013-14. Till March 2014, total amount of JICA loan stood at Rs 18,324.80 crore. Similarly, total contribution against subordinate debts from Government of India, Delhi Government, Haryana Urban Development Authority and Noida as on March 31, 2014 stood at Rs 3,908.26 crore.
Insiders say that the work on Jahangirpuri and Badli stretch is 77 per cent complete and the line was expected to be completed by March 2015. It is expected that this stretch may not meet March deadline due to certain reason or delay in possession of private land.
They say that non-availability of land may delay some stretches. For instance, relocation of jhuggis at Punjabi Bagh and Naraina are yet to be started. Also petrol pump on GT Road in Seelampur is yet to vacate the land for rehabilitation of plot holders at Trilokpuri.
Similarly, an auditorium of 700 sitting capacity was to be constructed in exchange of land Airforce land on hold by Western Air Command. Now, Air Force authority is demanding an auditorium of 700 sitting capacity.
Besides, DDA has also withdrawn land at Janakpuri for construction of multi-level parking. There is also delay in acquisition of private land under new land Acquisition Act. At least 13 cases are pending. land at Kalindi Kunj depot is also stuck as the matter is pending with the High Court.