HYDERABAD: As the L&T Metro Rail Hyderabad made losses in its Hyderabad Metro first phase, no private firm is coming forward to undertake the second phase.
That is why the state government has decided to take up the second phase metro project in partnership with the central government, Hyderabad Metro Rail Limited Managing Director NVS Reddy said.
He told the media persons that in the first phase of Metro, the concessionaire made losses to the tune of around Rs 6,000 crore.
The second phase of the Metro, covering a length of 76.4 kilometres, is a challenging project. In other states, respective state governments are operating Metro rail services and banks also are not showing interest in providing loans for the metro projects.
The second phase of the Metro is estimated to cost Rs 24,269 crore. The funds would be raised as loans from JICA and other banking agencies. After the Cabinet approved the project, the state government sent the proposals to the Central government. After getting the approval, the works will be taken up, Reddy said.