Mumbai, Sep 30 (IANS): The Maharashtra Cabinet chaired by Chief Minister Eknath Shinde on Monday approved the Rs 12,200.10 crore Thane Circular or Integral Ring Metro Rail project.

The 29 km metro rail project will have 20 elevated stations and two underground stations. Of the Rs 12,200.10 crore, the Centre and the state government will have equal equity as well as part funding from bilateral agencies.

Funds would also be raised through innovative financing methods such as by selling Station naming and access rights for corporate, monetisation of assets, and Value value-capture financing routes. Incidentally, Thane is the home city of the Chief Minister.

Monday’s Cabinet approval came days after the Centre on August 16 had given its nod.

Maha-Metro will execute the project, along with civil, electro-mechanical, and other associated facilities, works and related assets. Maha-Metro has already started the pre-bid activities and preparation of Tender documents. The contracts will be floated immediately for bidding.

The state government has directed the Thane Municipal Corporation to contribute Rs 5,078.04 crore towards the state government’s equity, and expenses for land acquisition, rehabilitation and resettlement.

The state government will provide an interest-free secondary loan of Rs 969.75 crore. The state finance department has observed that the Maha Metro should repay the secondary loan after its repayment of loans raised from the multilateral agencies in a time-bound manner.

According to the Chief Minister’s Office, this connectivity would provide a sustainable and efficient mode of transport, facilitating the city to realise its economic potential and ease traffic congestion on the roads.

The project is also expected to contribute to the reduction of greenhouse gas emissions. The Project is likely to be completed by 2029.

More importantly, the Metro line would benefit thousands of daily commuters, especially students and those commuting every day to office and work areas by providing faster and more economical transport options.

The project would result in total daily ridership on the metro corridors for the years 2029, 2035 and 2045 by 6.47 Lakh, 7.61 lakh & 8.72 lakh passengers respectively.

The state government has directed the MahaMetro and the Thane Municipal Corporation to complete the project within the stipulated time period and they should also see that there is no cost escalation.

The Maha-Metro has been made the special planning authority for the area to be covered during the construction of the metro, parking and property development.