Hyderabad Metro Controversy takes a new turn!

The Hyderabad Metro Controversy is far from over now. It all started with a letter of the concessionaire leaked to the media in which it offered Telangana government to back out of the project since it is no longer viable to them after state division. Finally the Center had to mediate between both the parties and settle the issues for the time being and got the works going.

However L&T, the concessionaire is not fully satisfied with the settlement and is still pressing for a damage prevention package from the government. L&T is planning to demand 1500 Crore damage prevention package from the state government since the project operated under PPP model has the potential to become in-viable for them.

L&T even is giving a free advice to get this sum from the Center if Telangana government could not afford it. The concessionaire was given 259 acres of land around the project which it can use for commercial purposes like selling the lands or making money by establishing commercial establishments like malls etc near the metro stations. Recently Telangana government took some part of the lands and gave to My Home group. And also L&T says the value of land has gone down after the state bifurcation making the project not commercially viable.