Dispute with railways over dues could hold up metro rail work

CHENNAI: Even as Chennai Metro Rail Ltd (CMRL) has opened key stations like Central and Egmore connecting the terminal railway stations, the state agency is keen on a bitter financial feud with Southern Railway over fee of dues to the tune of Rs 275 crore.

Documents accessed through TOI show that Southern Railway demanded unpaid dues of Rs 275.88 crore from metro rail for tunnels that pass railway land and land-use fees. Southern Railway has indicated that if the fees aren't paid, it will not have the ability to permit metro rail to hold out further paintings at those places.

Union railway minister Piyush Goyal wrote to Tamil Nadu chief minister Edappadi Palaniswami in February, asking CMRL to pay its dues.

But metro rail on May 16 wrote an eight-page letter to Southern Railway, announcing the calculations had been incorrect and as an alternative Southern Railway should pay Rs 215.81 crore to CMRL.

A data sheet connected through metro rail mentioned it had paid Rs 485.72 crore to the railways. The actual quantity payable was Rs 269.90 crore.

Under railway policy, metro rail must pay 99% of the market worth of the land as ‘railway land crossing fees’ if the intensity of the tunnel’s roof is less than 15m.

The intensity of tunnels within the strategy to Chennai Egmore is less than 15m — a fact that CMRL didn't tell the railways about, Southern Railway mentioned in a letter. It didn't take permission to function the tunnel boring machines at the line either. “Metro rail violated norms of working,” the letter mentioned.


However, metro rail raised 5 objections. It challenged the application of tunnel crossing fees declaring that there was no tenet on building of tunnels at a intensity of less than 15m. “The tunnel design allows Southern Railway to undertake long run enlargement, operation and upkeep without any hindrance,” CMRL mentioned.


Metro rail mentioned that railways had incorrectly implemented a 7% escalation over the guideline worth whilst calculating land fees. It has also contested the railway’ s calculation of tangible extent of land in Guindy, Egmore, Central and Washermenpet.


Railway has also billed CMRL Rs three.43 crore for traffic diversion at Chennai Central which the latter has adverse. “Around 378square was given to railways to shift parking for autorickshaws and taxi bay. CMRL also built a foot over-bridge for smooth crossing,” metro rail mentioned.


Dispute with railways over dues could hold up metro rail work Dispute with railways over dues could hold up metro rail work Reviewed by Kailash on May 29, 2018 Rating: 5
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