For the first time, there was no separate announcement of funds for Delhi Metro Rail Corporation (DMRC) for its ambitious expansion projects in the national Capital and the adjoining areas. While a consolidated fund of Rs 17,810 crore was announced for all the Metro projects in country. Though the budget did provide Rs 150 crore for DMRC’s NCR expansion but that is too little as compared to the projected cost of the phase-3 project, said an official.
It may be noted that DMRC has been allocated funds separately in earlier budgets from the rest of metro projects in the country. For instance, last year, the amount set aside for Delhi Metro was Rs 5,579.41 crore, though the Centre’s piece of this financial aid was only Rs 193 crore, the rest coming from Japan International Cooperation Agency (JICA). The amount provided by the Centre for projects outside Delhi, in the National Capital Region (NCR) was Rs 91 crore in the 2016/17 budget.
Finance Minister Arun Jaitely announced an amount of Rs 17,810 crore a single fund for all metro projects. He however did not allocate any separate funds for the DMRC projects. Though the total cost of Metro’s phase-3 expansion is Rs 42674.91 crore out of which JICA will fund 53 percent projects within Delhi while all metro projects under Union Ministry of Urban Development is pegged at Rs 17810 crore.
Officials said that further allocation of the budget would be at the discretion of the Ministry of Urban Development, which is a partner in all the various projects coming up across the country. “Depending on the financial need of the project, the funds will be disbursed further on,” said the official.
Meanwhile an official said that major part of funding for the phase three has already been provided to DMRC and as far as Phase-3 is concerned, the Union Government has not provided any funds. The proposal is pending approval and the same is granted the Union Ministry of Urabn Development will allocate funds under the revised estimate.
Though, the sanctioned fund for phase III is Rs 42,674.91 crore including all taxes as well as extension to Noida and Ballabhgarh while the DMRC has asked for Rs 50,000 for this project.
In the current Budget, the total metro allocation by the Centre comprises of the equity investment, which is Rs 2,700.01 crore while the subordinate debt amounts to Rs 1,465.99 crore. The assistance is Rs 13,644 crore by the pass through scheme. The subordinate debt will accrue as the cost of land acquisition and central taxes. While the 2016-17 allocation was Rs 5,579.41 crore for the Delhi Metro, the allocation by the centre in 2015-16 was Rs 4248.61 crore. Of this, the Centre’s share was Rs 1006.64 crore.
DMRC will get funds once Union Urban Development Ministry takes up the call, said an official when asked about the paucity of funds for the metro projects in the annual Budget.