Phase II metro land acquisition cost touches ₹6,400 crore
When the detailed project report was prepared in 2011, the cost was estimated to be ₹2,300 crore
The Bangalore Metro Rail Corporation Limited (BMRCL) is paying a steep price for the delay in the second phase of Namma Metro.
Delay in sanctioning of the project, changes in the plans and alignments, and an increase in guidance value are some of the factors that influenced a steep rise in land acquisition for Phase II of Namma Metro.
In the detailed project report (DPR) prepared in 2011, land acquisition for the ongoing 72-km metro line was estimated to cost ₹2,300 crore. Fast forward to 2020, the figure has touched ₹6,400 crore.
BMRCL requires 12.66 lakh square metres of land, most of which it has acquired.
While sanctioning the project, it was agreed that the State government would bear the complete cost of land acquisition, resettlement, and rehabilitation (including cost escalation). BMRCL had initially planned to complete the project within six years after the Central government’s final nod, which was given in 2014. However, the deadline to complete all reaches of Phase II has been extended to 2024.
An official of the BMRCL said, “The land acquisition for Phase II is almost complete, barring a few properties. In the DPR, it was estimated that ₹2,193 crore would be the land cost. Escalation in cost involves various factors that include increase in guidance value, which happens almost every year. In 2018, the State government had given its consent for land acquisition cost up to ₹6,293 crore, but now it has touched ₹6,400 crore.”
Learning from previous mistakes
To avoid delay in execution of the project, in Phase II (A and B), which is extending the metro from Silk Board to Kempegowda International Airport (ORR-airport link), the BMRCL is making sure that land is available prior to awarding tenders.
For the ORR line from Silk Board to K.R. Puram, the BMRCL has already acquired 59,103 square metres of land at a cost of ₹569 crore. For the K.R. Puram to KIA line, it is spending ₹2,100 crore for 3.17 lakh square metres of land.
“For the ORR line, the entire land identified for the project is already in the possession of the BMRCL,” said the official. From K.R. Puram to KIA, the notification has been issued for all the land identified. According to officials, barring the land required for the construction of a depot and other areas, acquisition has reached an advanced stage.
The BMRCL had initiated the process to finalise an alignment to KIA in 2016. In December 2017, the State cabinet had approved extension of the metro from Nagawara to KIA via R.K. Hegde Nagar, but the alignment was changed.
In January 2019, the State government approved a plan to extend the metro from K.R. Puram to KIA via Nagawara, Hebbal.
The BMRCL is waiting for the final sanction from the Union government for implementing the extended line.