Fund to be used for acquiring land on two stretches
The uncertainty that dogged the acquisition of land for the metro rail project has been finally cleared with Kochi Metro Rail Limited (KMRL) deciding to obtain an additional term loan of Rs.470 crore for the purpose.
A decision in this regard was taken during the 19th meeting of the KMRL director board held in Delhi on Tuesday. The meeting, held under the chairmanship of Shankar Aggarwal, Secretary, Urban Development and Chairman of KMRL, cleared a proposal to avail of the loan from the Ernakulam District Cooperative Bank. The fund will be mainly utilised to acquire land for widening the Vyttila-Pettah road, besides facilitating land acquisition and road widening work between Aluva and Maharaja’s College ground.
Shortage of funds
The supplementary loan, to be obtained in view of the shortage of funds faced by the State government, will be repaid by the government over a period of 12 years through its annual budgetary provisions. The fund will be available at a floating interest rate of 9.95 per cent and linked to the base rate of interest by the State Bank of India. No additional charges, including processing fee, will be charged for availing of the loan.
The decision to go in for a supplementary loan was taken at a review meeting convened by Chief Minister Oommen Chandy in Thiruvananthapuram on January 6.
Of the Rs.470 crore, Rs.104 will be used for acquisition of land and development work at selected points along the Vyttila-Pettah stretch while the remaining amount will be utilised for the same purpose in places, including the Kaloor-Deshabhimani road, Seematti corridor and Edappally junction. “As against the original plan, we will be widening the road and developing junctions only at the points required as to facilitate the metro rail works,’’ KMRL officials said.
The original plan to widen the Vyttila-Pettah road sought to increase the road’s total width to 26 metres from the present 15 metres with a median width of four metres and carriageways of 7.5 metres on either side.
Fund to be used for acquiring land on two stretches
The uncertainty that dogged the acquisition of land for the metro rail project has been finally cleared with Kochi Metro Rail Limited (KMRL) deciding to obtain an additional term loan of Rs.470 crore for the purpose.
A decision in this regard was taken during the 19th meeting of the KMRL director board held in Delhi on Tuesday. The meeting, held under the chairmanship of Shankar Aggarwal, Secretary, Urban Development and Chairman of KMRL, cleared a proposal to avail of the loan from the Ernakulam District Cooperative Bank. The fund will be mainly utilised to acquire land for widening the Vyttila-Pettah road, besides facilitating land acquisition and road widening work between Aluva and Maharaja’s College ground.
Shortage of funds
The supplementary loan, to be obtained in view of the shortage of funds faced by the State government, will be repaid by the government over a period of 12 years through its annual budgetary provisions. The fund will be available at a floating interest rate of 9.95 per cent and linked to the base rate of interest by the State Bank of India. No additional charges, including processing fee, will be charged for availing of the loan.
The decision to go in for a supplementary loan was taken at a review meeting convened by Chief Minister Oommen Chandy in Thiruvananthapuram on January 6.
Of the Rs.470 crore, Rs.104 will be used for acquisition of land and development work at selected points along the Vyttila-Pettah stretch while the remaining amount will be utilised for the same purpose in places, including the Kaloor-Deshabhimani road, Seematti corridor and Edappally junction. “As against the original plan, we will be widening the road and developing junctions only at the points required as to facilitate the metro rail works,’’ KMRL officials said.
The original plan to widen the Vyttila-Pettah road sought to increase the road’s total width to 26 metres from the present 15 metres with a median width of four metres and carriageways of 7.5 metres on either side.
Fund to be used for acquiring land on two stretches
