Decks cleared for HSRL

Delayed by a legal hurdle, the project cost escalates to Rs 6,689 crore

The Central government is likely to be an equity partner in the Rs 6,689-crore public-private-partnership (PPP) project. The 33-km HSRL route originates from Police Parade ground on M G Road and terminates at BIA.

“The permission has been granted for the project under the Metro Railways (Construction of Works) Act, which allows operation of a mass rapid transit system (MRTS) in the Bangalore Metropolitan Region limits. The Union government has also evinced interest to invest in the project. With this, the project has crossed all legal hurdles. It will now be taken up on a fast track,” said Principal Secretary to Department of Infrastructure Development (IDD) V Madhu.

Like the Namma Metro, the HSRL too was planned under the Mysore Tramway Act. Though the Tramway Act is a State legislation, amending it to allow operation of HSRL in rural areas is a lengthy and cumbersome process, as it has to get the assent of the President of India, he added.

As per the Tramway Act, a MRTS can be operated only in the Corporation limits. The HSRL has to operate out of BBMP limits - beyond Yelahanka - to Devanahalli. The state government, as a result, requested the Centre to allow it to implement the project
under The Metro Railways Act.

Loss of face

The government had to suffer loss of face as it failed to finalise the tender process due to legal hurdle in 2009.

As many as five consortiums, comprising big companies, had been shortlisted in the Request for Qualification (RFQ) process in 2009.

The shortlisted consortia are: Reliance Infrastructure and CSR Nanjing Puzhen Rolling Stock Company of China, Larsen & Toubro and Transco Ltd, ITD-ITD Cementation joint venture (Italian–Thai Development Public Company and ITD Cementation India Limited), Pioneer Infratech and Siemens Project Ventures Gmbh and Lanco Infratech and OHL Concesiones of Spain.

Besides, the State had to bear huge burden in the form of cost escalation of the project, due to the Centre’s delay to clear the legal hurdle.

The cost of the project went up to Rs 6,689 cr from the initial estimate of Rs 5,700 cr.