L and T came up to this conclusion on the cost by considering the facts such as the dismantling that must happen; of which there are 21. Apart from this there were the surveying, the soil testing, the delay caused which would all matter.
Managing Director of the Hyderabad Metro Rail Limited spoke about the realignment issue and said that it is expected to go higher than the price quoted by the company. Meaning that it would cost close to Rs. 300 crore for every kilometer and it would also add 3.5 km more to the project.
One sad thing here is that the L and T company has invested close to Rs. 6000 into the metro project and now has a cloud of uncertainty ringing over their future in it. Telangana's Municipal Administration and Urban Development ministry has however, stood by the company side and asked the centre to amend the act.
Exactly. This is because of the Central Metro Act, which surprisngly fails to recognize the public private partnership model of the project. Which might, as someone here said, kick them off their ownership as a proper Metro Rail Administrator (MRA) is not chosen,
The government is shocked over this cost and has said that it is not affordable. Also the CM had allegedly pushes L and T for this realignment to which the company refused and threatened to walk away. And an issue popped up which would negate their entire involvement in the project, and probably even lose their ownership.
K Chandra Shekara Rao the Telangana Chief Minister had suggested that it should be done. He said that the metro must be realigned in three places which included the area near the assembly building, the sulthan bazaar, and the old city.
True. It is going to be VERY expensive at Rs. 2200 crores. The TRS govt. had asked the concessionaire L and T to do a feasibility study on how much the cost be be overall and turns out they are shocked that it will be costing more. In fact L and T said that it will cost much more than that amount and a lot of resources.