Metro Construction Corporation in AP solicits proposals for initial phase of Visakhapatnam subway construction project
In a significant development for the transportation sector in Andhra Pradesh, the combined cost for the first phases of the Visakhapatnam and Vijayawada Metro Rail projects has been estimated at approximately Rs 21,608 crore.
The Visakhapatnam Metro Rail Project, with an estimated cost of around Rs 11,490 crore for 46 km and 42 stations across three corridors, is set to include the construction of a Double Decker 4 Lane Flyover cum Metro Viaduct. On the other hand, the Vijayawada Metro Rail Project, with an estimated cost of about Rs 10,118 crore for approximately 38.4 km (recently updated from roughly 32-35 km earlier) with two corridors and 32 stations including a 4.7 km double-decker flyover, is also in motion.
Both projects are being fast-tracked with Andhra Pradesh aiming for completion within three years from mid-2025. Tenders for Visakhapatnam Metro Phase 1 have already been invited, while tenders for Vijayawada Metro were called recently under an EPC (Engineering, Procurement, and Construction) model for Phase 1 covering two corridors.
The funding model for these projects is split as follows: - 20% by the Central Government - 20% by the State Government - 60% through a 30-year soft loan at low interest from international agencies, facilitated by the Centre.
The Visakhapatnam Metro will be constructed in two phases; Phase 1 covers 46 km. Vijayawada Metro Phase 1 has two corridors: Nehru Bus Stand to Gannavaram Bus Stand and Bus Station to Penamaluru, including a 4.7 km double-decker corridor. Consultancies TIPSA and SYSTRA were engaged to provide design, supervision, and technical support with TIPSA handling Vijayawada and SYSTRA overseeing Visakhapatnam.
This accelerated implementation follows new central metro rail policies and approvals from the Andhra Pradesh cabinet. Notably, both metro projects are to be undertaken on a 50-50 Joint Venture basis. The Notice to Proceed for both metro projects will be subject to approval from the Ministry of Housing and Urban Affairs.
In summary, both metro projects are currently in tendering and pre-construction phases, with construction scheduled to complete in approximately three years, and a combined initial cost of over Rs 21,000 crore supported by a mix of state, central, and international funding.
- The public-transit industry in Andhra Pradesh is set to undergo a significant transformation with the implementation of the Visakhapatnam and Vijayawada Metro Rail projects, which require a combined finance of approximately Rs 21,608 crore.
- The Visakhapatnam Metro Rail Project, a part of this transformation, is to be funded by a 30-year soft loan at low interest from international agencies, with a subscription of 60% of the total cost.
- With both the Visakhapatnam and Vijayawada Metro Rail Projects being undertaken on a 50-50 Joint Venture basis, it is evident that the finance sector is playing a considerable role in the development of the public-transit transportation sector in Andhra Pradesh.
