GoI – EIB Sign Rs. 2300 cr Loan Deal for Bangalore Metro’s Line-4
The Government of India and European Investment Bank (EIB) today signed a finance contract in New Delhi for a € 300 million (approx. Rs. 2300 crores) loan agreement to develop Bangalore Metro’s 21.415 km Line-4 (Reach 6).
The agreement was signed by S. Selvakumar, Joint Secretary of the Department of Economic Affairs, Ministry of Finance on behalf of the Government of India and Andrew McDowell, Vice President of EIB in the presence of Bangalore Metro’s Managing Director Pradeep Singh Kharola.
The loan period or interest rate haven’t been disclosed at this time.
This € 300 million represents the first tranche of a larger € 500 million assistance, and an agreement for the rest € 200 million is expected to be signed in the coming years. A similar loan agreement for another € 300 million loan is expected to be signed with the Asian Infrastructure Investment Bank (AIIB) in 2018.
This loan’s proceeds will directly go towards the development of Bangalore Metro’s 21.415 km Line-4 (Reach 6) between Gottigere and Nagawara in the 73.95 km Phase 2 project, which includes two cost-intensive components – (1) a 13.92 km underground section with 12 stations and (2) a requirement for about 96 new metro coaches.
An alignment map of Line-4 can be viewed here.
Line-4’s Status – the 7.50 km elevated (Gottigere – Dairy Circle) section’s contract was recently awarded to Simplex Infrastructures while the last date for submitting bids for the 13.92 km underground (Dairy Circle – Nagawara) section has been extended out to October 23. Bids for the Kothanur Depot’s construction and systems (rolling stock, signalling, telecommunication, automatic fare collection etc.) procurement are yet to be invited.
For more updates, check out the Bangalore section of The Metro Rail Guy!
Any update about cannt. Station
BMRCL is sticking with their decision for now. If any change happens, it’ll likely take place only after the bidding is complete, otherwise it’ll lead to more delays.
There’s a citizen’s round-table meeting this Saturday at the Rotary House. I can’t make it but would recommend others to attend –
Any news on exact alignment of Gottigere-Swagath cross section?
Nothing yet, unfortunately. I’ll post about it whenever they reveal it.
As the contract has been awarded we can probably expect work to start in 2 months or so…They should come up with exact alignment with in that time…Hopefully….
Hi TMRG, Can you please explain? Is it possible to start bidding/land Aquisition processor to BMRCL for phase 2B (Nagawara-airport) line before getting SG/CG approval??
Bidding & land acquisition can begin only after the state government’s approval.
Any update on the ORR metro ?
BMRCL needs funds. After that Rs 100 cr MoU with Prestige Group, no other MoUs/contracts have been signed.
It was embassy group i believe…
Yep, that’s the one.
When loans are taken for all other lines, why
Not for ORR line? This line is badly needed and it’s a sure money spinner. Would Govt abandon the ORR line if enough funding doesn’t come from corporates? Can’t understand the logic
Logic is simple. They’ll see if they can tap private funding as the ORR line has greatest potential. If they cannot get sufficient funding from private parties, they may opt for loans, like other lines.
Could you please let me know how the metro trains run once the new line from bommasandra to RV Road gets completed. Is it like few trains run from Bommasandra to KR Puram and few trains from Bommasandra to Nagawara, Kengeri etc. Or is it a dedicated line till R V Road?
Thanks in advance
The train will run only from Bommasandra to RV road. There is no provision for interconnection of lines right now.
There will be a provision for interchange at Silk Board, Jayadeva and RV road stations to switch over to the K R Puram, Nagawara and Nagasandra lines. So one must get out of the train and and change the platform to get into another train, like what is begin done at Kepegowda interchange right now
Since BMRCL has released DPR, can we guess the location of elevated section?
Not quite. The DPR is from 2011, and the locations would have only recently been fixed based on land acquisition progress and the Detailed Design Consultant’s recommendations.
So the DPR which was released is a piece of junk, released just to shut our mouths?
DPRs are prepared for administrative reasons. By the time construction starts, a lot of changes take place due to current/changing requirements or circumstances.
DMRC maintains a template for DPRs with highly inflated ridership figures. You’ll find the same content/verbiage across all the ones they’ve prepared with suitable changes made for each city.
I consider a DPR to be a good baseline document to see what’s cooking, but not something that accurately describes the end product.
When kr puram to hoskota metro line will start. any plan is there or not.
For line 4, Gottigere to Sagar hospital on Bannerghatta road, the land acquisition is complete, contract is awarded, loan is obtained, please let me know when the work will start. thanks
Survey work is underway. You should be able to see survey men throughout the stretch.
From the past 2 months, I don’t see updates on this line (gottigere), in the newsletter released by bmrc. Any specific reason?
Piling is yet to start. Casting yard is being setup for the elevated section. Maybe they’ll include images once it is close to being ready.
Hi TMRG, can you please explain me? How the contractor is paid for BMRCL or any other agency after the contract award because the loan deal is being signed into pieces??
When the contract is awarded, they get paid a certain amount (could be 5%-20%) for mobilizing resources (man power, equipment, construction material). When a target is achieved, they get paid another predefined amount, and so forth.
Initially BMRCL gets these funds from the state government. After that, funds from the GoI and lending agencies start kicking in – again in stages over multiple years.