French Development Agency to Study Nagpur Metro

AFD to study Nagpur Metro Project from March 26

Nagpur (NGP): A team of the French Development Agency (AFD), that may finance city’s metro rail project, will be on a three-day visit to Nagpur city from March 26 to study the project. During their stay, the team will interact with the stakeholders in the project and will visit many places including MIHAN, city bus station and also review different modes of transport in the city, a senior Nagpur Municipal Corporation (NMC) official told.

The team of the French agency will visit the city from Bangalore. The official said the department of economic affairs (DEA) had approached the AFD to explore the possibility of financing the Nagpur Metro project in November 2014. “The AFD then carried out a pre-identification in Nagpur and Mumbai in December 2014. An official financing request from the DEA was received by AFD in January 2015,” the official said. Earlier this month, a first meeting of Nagpur Metro Rail Corporation Ltd (NMRC) and stakeholders was held in New Delhi.

Sources said the team’s visit was to collect further information on Nagpur Metro project as part of due diligence formulated in the meeting held in New Delhi. The meeting had discussed various issues including technical, financial and organizational aspects (analysis of the economic model of the metro with the additional taxation, further evaluation of development of MIHAN, financing plan, structure of general consultant, integration of different modes of transport and transport authority, review of the operational planning and drawdown schedule etc)

On March 26, the team will be meeting the officials of NMC and Slum Rehabilitation Authority. The team will also visit sites and meet officials of Urban Mass Transit Corporation and city bus operator Vansh Nimay. A meeting with MADC was also scheduled for the same day. On March 27, the team will convene a meeting with NMRC and Nagpur Improvement Trust (NIT). During the third day, the team will visit MIHAN with MADC officials and also meet rickshaw associations and leaders of trade unions.

POINTS ON AGENDA

NMRC: Economic model, financing plan, procurement plan, exchange poles, feeder buses, operational model, drawdown schedule, environmental and social impacts etc

NMC: Local taxation, calendar for adopting the new norms, urban development projects etc.

SRA: Impact of the metro on the different strata of the population, impact of additional taxation etc

MADC: Details on the business plan, development strategy, visit of a firm based in MIHAN etc

UMTC and Vansh Nimay: operation of the urban buses, feeder buses, visit to a bus station etc