Delhi Budget 2011: Rs 1,071 crore for Metro phase III

NEW DELHI: Even as the government ‘debates’ the reach and route of the Metro third phase with Delhi Metro Rail Corporation, it set aside Rs 1,071 crore in its 2011-12 budget . It’s the second large allocation for the Rs 28,000 crore project: last month, the Centre had released Rs 1,453 crore.

The state funding comes at a crucial time. Post the natural disaster and nuclear threat in Japan, funds from JICA ( Japan International Cooperation Agency), the major financers of the first and second phase of the Metro, seem to be doubtful. A senior government official said: “Funding from the Centre and the state at this moment is extremely crucial, as it means that the project can take off while the Centre looks for balance funding elsewhere.” According to sources, the Delhi government’s Rs 1,071 crore comprises Rs 363 crore (the balance project cost of phase II) and Rs 708 crore exclusively for the third phase.

The third phase will add over 103km to the existing network of 186km. It will go around the city in a circular network with multiple interchange stations, touching not only the outer Delhi areas such as Bawana but also congested ones like Jamia Nagar. Work on the third phase is scheduled to start this year, with the extension of the HUDA City Centre-Central Secretariat line to Red Fort. Reacting to the fund allocation, a DMRC spokesperson said: “It is a positive sign and we are waiting for the details of the allocation.” Sources said with preliminary funding from the state and Centre ready, the project should start soon.

The funding pattern of phase III has been worked out. The proposal for funding has been kept at 40% from a funding agency, with the centre and the state pitching in with an equal share of 20% each.