Transport Solutions for Cities: Urban rail project pipeline

Urban rail project pipeline

India Infrastructure Research has analysed 50 projects in the urban rail sector, initiated between January 2014 and January 2016, including both metro and monorail projects. These projects offer an investment opportunity of over Rs 5.2 trillion. Two projects worth Rs 54.09 billion have been completed, 17 (Rs 1.92 trillion) are under implementation, three (Rs 331 billion) have been awarded but work is yet to commence and three (Rs 383.43 billion) are at the bidding stage. In addition, 25 projects worth Rs 2.56 trillion have been announced and these are likely to take off in the next two-three years.

Key completed projects

No project was completed in 2015. The two projects completed in 2014 added a total metro length of 17.17 km. Of these, the Mumbai Metro Phase I Line 1 Project (Versova-Andheri-Ghatkopar) entailed the maximum investment of Rs 43.21 billion. The project added a metro length of 11.07 km. Line 1 took 10 years to be completed, from project approval in 2004 to commissioning in June 2014.

Key ongoing projects

There are a total of 17 projects under implementation. Of these, 16 are metro projects and one is a monorail project. Together, these projects have a scope of 723 km across 10 states – Delhi/Uttar Pradesh (149 km), Karnataka (114 km), West Bengal (103 km), Uttar Pradesh (72 km), Telangana (74 km), Maharashtra (69 km), Tamil Nadu (54 km), Gujarat (37 km), Kerala (36 km) and Rajasthan (12 km). The 16 metro projects, worth Rs 1.89 trillion, will cover 703.64 km.

The biggest ongoing project in terms of inv-estment is the Delhi Metro Phase III worth Rs 352.42 billion with a project scope of 139 km. This is followed by the Bengaluru Metro Rail Project Phase III (Rs 264 billion) and the Hyderabad Metro Rail Project Phase I (Rs 200 billion).

Projects awarded

Three metro projects worth Rs 331 billion were awarded between January 2014 and December 2015. Of these, two projects worth Rs 310 billion are being developed by the government and one project worth Rs 21 billion is being developed on a public-private partnership (PPP) basis. Of these, the Mumbai Metro Rail Phase I Line 3 Project worth Rs 290 billion was awarded in October 2015. The Kochi Metro Rail Phase IB was started in 2013, but due to realignment of the metro line, this was reapproved and re-awarded in 2015.

Projects at the bidding stage

Three projects – two metro projects and one monorail project – worth Rs 383 billion are at the bidding stage. Segment-wise, the two metro projects offer an investment opportunity of Rs 351 billion while the monorail project will require an investment of Rs 32 billion. The biggest investment opportunity, of Rs 289 billion, is offered by the Mumbai Metro Phase I Line 2 Project (Dahisar-Charkop-Bandra-Mankhurd), which is being developed by the state government.

Projects on the drawing board

At present, 25 projects – 23 metro projects and two monorail projects – have been announced. Most of these projects are at the detailed project report (DPR) preparation or approval stage. Together these projects offer a potential investment opportunity of Rs 2.56 trillion across 1,107 km in 11 states. Of these, the maximum investment opportunity is in Uttar Pradesh (385 km), followed by Delhi (126 km), Bihar (91 km), Tamil Nadu (88 km) and Maharashtra (74 km). Segment-wise, the 23 metro projects offer opportunities worth Rs 2.52 trillion and the two monorail projects  offer opportunities worth Rs 45 billion.

In terms of ownership, 19 projects entailing an investment of Rs 2.28 trillion will be developed by the government (central/state/ local) while one project worth Rs 200 billion will be developed on a PPP basis.

The biggest project announced during the period is the Delhi Metro Project Phase IV, which offers an investment opportunity of Rs 500 billion with a project scope of 113.97 km. Other big upcoming projects include the Chennai Metro Rail Project Phase II (Rs 420 billion), Mumbai Metro Phase II Line 4 Project (Wadala-Ghatkopar-Teen Haat Naka [Thane]-Kasarwadavli) (Rs 220 billion), Patna Metro Rail Project Phase I (Rs 169.6 billion) and Patna Metro Rail Project (Rs 150 billion).