Delhi Metro, in this regard, written a letter to walk out of the MoU and the AMRC also expressed its provision to end it.
Vijayawada: The Delhi Metro Rail Corporation (DMRC) that had started many prominent metro rail projects in the nation and has canceled its MoU with Amaravati Metro Rail Corporation (AMRC).
The DMRC, in this view, wrote a letter to walk out of the MoU and the AMRC also conveyed its support to close it.
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It is learned that the DMRC had entreated AMRC to pay their Rs 75 core capital outflow to which the latter declined. The AMRC granted to pay only the amount expended as the works have not grown. With this, the MoU amid DMRC and AMRC appears to have broken and the DMRC is drawing its employees also.
It is a well-known fact that there is a variance of opinion amid the DMRC and AMRC, which molded as an SPV. The state government hadn’t acquired any permission for the Vijayawada metro plan from the Union government compelling the DMRC to cancel the bids twice and this headed to some differences amid officials of both the metro rail companies.
The AMRC administrators said the works would have begun by this time had not the tenders been negated.
Cancellation of tenders and Union government asking the state to go for a substitute made the administrators suggest of light metro rail.
However, metro proficient Sridharan had resigned, yet it has not been agreed yet. AP Chief Minister N. Chandrababu Naidu was recommended that he should try to get consent for metro in the old model but he would not. Presently, tenders have been are termed for on DPRs for the light metro project. Yet, non-assignment of the tender procedure of DPRs on a light metro to the DMRC has headed to dissatisfaction amid the officials. Unexpectedly, it was the DMRC that first proposed Vijayawada metro project and succumbed the DPR.
The AMRC had released the EOI tenders on the light metro project without bearing in mind DMRC. Remarkably, the bids of KFW, a German-based firm, were opened in Germany.
Further motivating is that the AMRC and DMRC arrived into a MoU even before the Union government rendered all the needed permissions for the project.
After the DPR line placement survey was led, tenders were named for again. With no development in the works, the payment has become provocative.
DMRC MD Mangu Singh preached that light metro isn’t probable through the PPP mode and that it should be taken up by the government as its venture. In such a state, the probabilities are very less for the DMRC to work with AMRC over.