Hyderabad Metro rail operated by the L&T which sought help from the state government to overcome the losses has received a leg up from the KCR-led state government. The Telangana government on Wednesday has formed a high-level committee to to bail out the Hyderabad Metro Rail, which has been incurring heavy losses due to the Covid-19 pandemic.
The decision came after Chief Minister K Chandrashekhar Rao held a review meeting with ministers, officials of the government and L&T Metro Rail. The constituted committee members include: Municipal Administration Minister KT Rama Rao and R&B Minister Vemula Prashanth Reddy, among other senior officials. The CM instructed the panel to submit soon its report on how to save Hyderabad Metro from incurring losses.
Reportedly, the authorities of L&T has reportedly submitted an annual report in the meeting held that specified the metro rail’s revenues from operations and other income in the last financial year stood at Rs 228 crore. The firm’s losses widened to nearly Rs 1,767 crore in FY21 from the previous year’s Rs 382 crore on account of disruption in the metro rail operations due to low ridership and fall in footfalls at real estate operations.
It was learned that the Chief Minister KCR has given assurance to the L&T that the government would support Hyderabad Metro Project in bringing back the lost glory.