Delhi Metro signs deal with Ghaziabad agency today

In a major boost to infrastructure development of the satellite town Ghaziabad, the Ghaziabad Development Authority (GDA) is scheduled to sign Memorandum of Agreement (MOU) with Delhi Metro Rail Corporation (DMRC) on Tuesday afternoon which would mark ensuing of the construction on the 9.1 km metro route along age old Grant Trunk Road. The new metro route would give a new thrust to real estate market in the region as connects several new developing areas.

‘Connectivity with Delhi would boost confidence of investors in the area and would be helpful to attract them in our new townships, smart cities, commercial and institutional projects,’ said Santosh Kumar Yadav, Vice Chairman of GDA. The MoU will be signed in the head office of GDA in Ghaziabad in the presence of Yadav and DMRC’s Managing Director Mangu Singh. The new metro route is the second metro connectivity of Ghaziabad to Delhi but this route is much longer than Anand Vihar to Vaishali which has just two metro stations in Ghaziabad area- Kaushambi and Vaishali. The new metro route will cost Rs 1770 crore and have seven metro stations- Shahid Nagar, Raj Bagh, Rajendra Nagar, Shyam Park, Mohan Nagar, Arthala and New Bus Adda. ‘We will work on war footing to complete the project in about two years,’ said Yadav adding that after completion of the project Ghaziabad will be connect to Delhi with two major routes. 

‘On the third route which connects Delhi- NH – 24, we have planned an elevated road of around 24 km over NH-24 which would connect U P Gate near Ghaziapur to Rajnagar Extension,’ he informed. 

The new metro will cater to the needs of Rajnagar, Mohan Nagar, Vasundhara, Raj Nagar Extension, Old Ghazibad, besides giving proximity to several other developing areas.

‘GDA will pay the first installment of the project of around Rs 545.10 crore to DMRC by 30 June, 2014. A mutually agreed fraction of the first installment, around Rs 10 to Rs 20 crore, would be paid to DMRC on Tuesday’ informed Yadav. The total cost of the project is Rs 1770 crore which would be borne by GDA and U P government agencies, DMRC and Central government respectively Rs 1116.60 crore, Rs 256 crore, and Rs 397.40 crore. 

As per the agreement GDA will pay the entire share of state government and Central government to DMRC and later get it reimbursed by those agencies. The second installment of Rs 393 crore is payable by June 2015 and third installment of Rs 178.60 is due on 30 June 2016. 

Out of Rs 1116.60 crore of states shares, GDA will bear maximum Rs 525.10 crore. Yadav also find out an out of the box solution for financially weak Ghaziabad Municipal Corporation to pay reimburse its share in which GDA will directly pay the cost GMCs land in a dedicated account of GMC which the later reimburse to GDA. As per provision the cost of land should go to state government’s exchequer.