Tuesday, 02 January 2024 12:17 GMT

Karnataka CM Seeks Support For Bengaluru Metro And Drought Relief


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(MENAFN- AsiaNet News)

Karnataka CM Urges PM Modi for Metro Support and Drought Relief

Bengaluru (Karnataka) [India], November 13 (ANI): Karnataka Chief Minister DK Shivakumar, in a memorandum submitted to Prime Minister Narendra Modi on Friday, said Bengaluru Metro is a crucial lifeline, and with the inauguration of 7.5 km of Pink Line, Namma Metro will cross 103 km, making it the second-largest metro in the country. In his memorandum dated November 13, from Vidhana Soudha, the Chief Minister said Bengaluru is the fastest-growing metropolis and needs a metro of at least 500 km. The government has set a goal of reaching 500 km in the next 10 years.

Stating that Metro projects are implemented through an SPV that is a 50:50 partnership between Centre and State, he said the actual financial burden on States is much higher. Since the state bears the entire cost of land acquisition, shifting of utilities, 50% of Central taxes, 100% of State taxes, repayment of the entire foreign loan and most cost increases, the financial burden of building and running the metro is going beyond 80%, according to the memorandum. Approvals must be time-bound with regular PRAGATI reviews and the PM's direct attention. Significant delays in approval of Metro projects by the Government of India add to cost.

When the Centre finally approves, approval is given to a DPR costed at old and dated prices. Cost escalation beyond the DPR submission date is not allowed, and updated estimates are not considered for freezing the Government of India's share, as stated in the memorandum. Government of India uses benchmarked rates, which are averages of metros of the country, to mark down estimates. This results in cost escalation during implementation, and the state has to bear the entire escalation. Need state-specific realistic rates. Government of India may arrive at independent costing but specific to each city, reflecting actual conditions, rather than using the national average, according to the memorandum.

The memorandum further stated that, since Metro is run by a company with 50:50 equity, the Centre should share the cost of foreign-exchange risks on external loans, as agreed in the case of Delhi Metro. Centre should take a share of operational losses of Metros. Since loans by multilateral foreign banks are becoming costly due to rising interest rates and a depreciating Rupee, the Government of India should consider providing alternative domestic financing routes through affordable, long-term loans in Indian rupees through national financial institutions.

Delays are also caused in inspections and safety certifications by agencies in other Ministries like Railways, etc. Ministry of Urban Development should create a National Technical Institution for Metros. Metro projects can then choose from this list based on technical committee recommendations. This will speed up approvals, support Indian technology and ensure passenger safety, according to the memorandum.

Bengaluru city has a deficient road network. Only 8-9% of the city is covered by roads, whereas a city needs at least 18-20% of its land covered by a road network. The government had therefore planned double-decker infrastructure with road flyovers below elevated Metro lines to save expensive and limited land, as per the memorandum. While similar structures exist in Nagpur and Pune, Karnataka's proposal for double-decker infrastructure along the 42-km Phase 3 stretch has been significantly reduced. The state has committed to bear additional expenditure on elevated road under metro. Request permission to take up double-decker wherever it is technically feasible, safe, and economically justified, and Karnataka is ready to bear additional cost, according to the memorandum.

Proposal for Red Line connecting Sarjapur to Hebbal was submitted to the Government of India in January 2025 and revised with reduced costs upon the Centre's request. This crucial corridor connects major residential and employment centres and improves access to the airport. There is an urgent need to give approval to this line so as to avoid further cost escalation and to start work, as per the memorandum.

Karnataka is facing severe drought, with second-lowest rainfall in 70 years. Out of 240 taluks, 226 have been declared drought-affected. Nearly 58 lakh hectares of crops have suffered damage, with estimated losses of Rs 62,482 crore. Villages are facing drinking water shortages, and fodder is becoming scarce. The state has sought Rs 22,400.58 crore under NDRF. Memorandums have been sent, and the Government of India has obtained reports through Inter-Ministerial Study teams. Request early approval and release of assistance, according to the memorandum.

Sugarcane farmers in Karnataka are demanding Rs 5,500 per tonne against FRP of Rs 3,650 for 2026-27. MSP of Sugar has remained at Rs 31 per kg since 2019. Open market prices are much higher. Urgent need to revise MSP considering cost of production of sugarcane and sugar. Need to take important policy decisions to make sure FRP is fixed more realistically, and returns from by-products like ethanol and power are accounted for in giving fair prices to farmers, as per the memorandum.

Based on the Kasturirangan Report, the Ministry of Environment and Forests has issued a draft notification identifying 20,668 sq km across 1,449 villages in 10 Karnataka districts as Ecologically Sensitive Areas, according to the memorandum. While supporting protection of forests and wildlife, livelihoods of generations of farmers and families living in the Western Ghats must also be protected. Declaration of the entire area as eco-sensitive will severely affect the lives and livelihoods of people living in about 1500 villages. For over a year, Karnataka has been requesting a ground-level survey. State Legislature has also passed a unanimous resolution. Request the Centre to consider the concerns of the people and the resolution of the Karnataka State Legislature and reconsider the notification in consultation with Karnataka, as per the memorandum. The memorandum concludes "On behalf of the People of Karnataka" with the signature of DK Shivakumar, Chief Minister. (ANI)

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