The Mumbai Metropolitan Region Development Authority (MMRDA) is ready to take over the operation and maintenance of Mumbai Metro’s Line One. According to reports, MMRDA has further approved the appointment of a consultant to carry forward the due work before a takeover.
Moreover, this 11.5 km line is Mumbai’s first Metro line and was built under a Public-Private Partnership (PPP) model and commissioned in 2014.
Meanwhile, the MMRDA had earlier taken over the operations of Metro One. This came after Reliance Infrastructure, which runs the corridor had decided to offload its stake in the project. MMRDA earlier had a 26 per cent stake in the special purpose vehicle whereas Anil Ambani owned Reliance Infrastructure held 69 per cent.
In addition, the concession agreement between MMRDA and R-infra-promoted MMOPL was signed on March 7, 2007. The total cost of the project built on a public-private partnership (PPP) model is estimated at ₹2,356 crores.
Metro one, with a ridership of 4.5 lakh every day, has an average revenue of ₹1 crore every single day. However, amidst the outbreak of the coronavirus coupled with the losses, Reliance Infrastructure had written to the Maharashtra government, stating that it wants to sell the stakes it owns in the company. Metro-1 had been shut for several months last year due to the lockdown had been suffering losses prior to lockdown as well.
ALSO READ: MMRDA Commissioner Explains the COVID-Related Challenges Faced by Metro Projects in Mumbai
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