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National News

Sep 06, 2019

Giving freebies may result in loss to metro: SC to Delhi govt

The Supreme Court today questioned Delhi Government's ambitious proposal to make metro travel free for women saying it might lead the Delhi Metro Rail Corporation (DMRC) to losses.

The apex court said the Delhi government should refrain from giving freebies from public money.

A bench of Justices Arun Mishra and Deepak Gupta told the lawyer appearing for Delhi Government that the government should not channelise its funds in this way.

The apex court dealt with three issues related to Phase-IV of Delhi metro - bearing of operational loss, repayment of Japan International Cooperation Agency (JICA) loan in case of default and sharing of land cost - which are yet to be resolved between the Centre and Delhi Government.

The bench said that operational loss, if any, in the 103.94- kilometre long Phase-IV of the Delhi Metro Project would be borne by the Delhi Government as it is a mode of conveyance in the national capital.

Regarding sharing of land cost, the apex court accepted the submissions of Delhi Government and directed that the land cost for the phase-IV project would be borne by the Centre and the Delhi Government equally.

It asked the authorities concerned to ensure that no delay is caused in the Phase-IV of the project and the total land cost of  2,447.19 crore rupees is released forthwith. The bench directed the Centre and Delhi government to work out the modalities and release the amount of land cost within three weeks from today.

The Phase-IV of Delhi metro will consist of six corridors -- Aerocity to Tughlakabad; Inderlok to Indraprastha; Lajpat Nagar to Saket G Block; Mukundpur to Maujpur; Janakpuri West to R K Ashram and Rithala to Bawana and Narela.

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