By: Pune Pulse
November 3, 2023
Pune: For the Metro Line 3 Maan-Hinjewadi-Shivaji Nagar Project of Pune Metropolitan Region Development Authority (PMRDA), the state government has approved Viability Gap Funding (VGF) of Rs 410 Crores.
Rahul Mahiwal, Commissioner, PMRDA said, “With the timely receipt of the first tranche from the central government, no other financial difficulties remain and the project will progress as per schedule.”
As per information shared by Ramdas Jagtap, Deputy Collector & PRO, PMRDA, the Pune Metropolitan Region Development Authority (PMRDA) has undertaken the development of the 23.203 km long Pune Metro Line 3 Project connecting Maan Hinjawadi with the city center at Shivaji Nagar on Public Private Partnership (PPP) basis. The State Government had accorded approval to undertake the said project on the PPP model via a government resolution dated 09/02/2018.
Accordingly, the consortium of TRIL Urban Transport Pvt Ltd and Siemens Project Ventures GmbH was awarded the project and a special purpose vehicle Pune IT City Metro Rail Limited was formed to undertake the said project. The concession agreement was signed on 21/09/2019 and the appointed date was declared on 25/11/2021 marking the start of construction work. About 45% of the project work is complete.
Since the project is proposed on a PPP basis, viability gap funding (VGF) of Rs 1225 Cr was envisaged from the Central Government. After the infusion of 100% equity by the concessionaire and proportionate disbursement of debt by the banks, the PMRDA has applied to the State Government for disbursement of VGF to the tune of Rs 410 Cr out of the total VGF of Rs 1225 Cr.
The proposal was sent to the Department of Economic Affairs, Ministry of Finance, Government of India. PMRDA Commissioner Rahul Mahiwal and Chief Engineer Rinaj Pathan continuously followed up on the disbursement of the said amount.