Authorities looking at ‘innovative financing model’ to make the project financially viable

The proposed high-speed metro rail to Rajiv Gandhi International Airport (RGIA) at Shamshabad from Raidurg/Mindspace junction will be essentially an elevated one but will also have a 2.5-km underground section to connect to the airport terminal.

Hyderabad Airport Metro Rail (HAML), the government’s special purpose vehicle formed to build the 31-km ‘Airport Express Metro Corridor’ with 27-km elevated and another 1 km on ground, is looking at ‘innovative financing model’ to make the project financially viable, according to Managing Director N.V.S. Reddy.

The project estimated to cost upto ₹ 5,000 crore is awaiting the government’s nod to call for financial and technical bids. It will essentially be a government funded and owned metro unlike the ongoing Hyderabad Metro Rail project, which is under the public, private, partnership (PPP) mode, with L&T Metro Rail Hyderabad building and maintaining the phase one. However, the private sector will be involved extensively for optimising of costs for Airport Metro. “We have option of seeking the Central government’s financial assistance available for up to 10% of the total cost which will come with its own rules and regulations or we can take up the entire work on our own,” he explained.

Lease holding of metro rail coaches, providing naming rights for stations development, advertisement wrapping of coaches, modular development of stations with scope for expansion and township development through land pooling of 50 to 100 acres are among the options on the table.

Since the elevated viaduct will be crossing the Outer Ring Road (ORR) at 16 places and an on-ground railway line at Shamshabad, the height of the piers (pillars) will not be as high as the current project so there will substantial cost reduction. The minimum height though will be 5.5 metres from the ground. “With just nine elevated stations en route and one underground, we are planning a reverse ridership of passengers into the HiTec City. The metro will take 20 minutes from the airport into the city. It will be a game changer as we expect one lakh passengers from day one and could go upto 3-5 lakhs in a few years,” avers Mr. Reddy.

Airport Metro corridor will be extended from end of current Corridor III (Nagole to Raidurg) with the first station starting at 1 km away at Bio-Diversity junction, next is Nanakramguda at 2.5 km, Narsingi 3 km, TS Police Academy 5 km, Rajendranagar 3.5 km, Shamshabad 9 km, Airport Cargo station at 3 km and terminal 2.5/3 km away.

“The Boston Consulting Group is looking into the proposals although we have more or less finalised the alignment and route,” says the MD.

Estimated cost

Delhi Metro Rail Corporation (DMRC) has estimated ₹4,650 crore for airport line with the Hyderabad Metropolitan Development Authority (HMDA) and the GMR Group pitching in with ₹400 crore each and the Telangana State Industrial Infrastructure Corporation expected to invest.

HAML Managing Director N.V.S. Reddy expects at least 10% escalation of the proposed cost of the project. “It is possible to build the entire stretch in about three-and-a-half years because land acquisition component is not much and we will building along the ORR,” he says.

But, then tenders finalisation before the work is grounded itself could take up to eight months which means Airport Metro timeline is in the government’s court.