Published On:April 28 2014
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Mumbai Metro may get delayed over higher fares row.
Even as the final clearance from the Commissioner of Railway Safety is expected shortly, the much-delayed Mumbai Metro is set to be postponed further as the State administration has turned down the operator Reliance Infrastructure’s demand for a steep hike in fares.
RInfra’s arm Mumbai MetroOne has sought almost a two-fold increase in fares compared to the fare already notified by the State government.
As per the notification, the minimum fare would be Rs. 9 and maximum Rs. 13 in the initial year of operations. Then after every four years, the fare will increase by 11 per cent and at the end of the concession period - that is by 2044-45 - the minimum fare would be Rs. 24 and maximum Rs. 37.
However, according to sources, RInfra has sought a steep revision in the fares with minimum Rs. 22 and maximum Rs. 33, citing a near-doubling of its cost.
'The company has sought higher fare citing huge cost escalation. But the government has already notified the fares so there is no question of any revision,' Mumbai Metropolitan Region Development Authority additional commissioner Sanjay Sethi told PTI.
HBL