Lahore metro project finalised

[Veeru]

it is rapid mass transit system.. is it metro?? any confirmation??

I think its metro.

Well its just a news like announced many time before so wait for some time I am sure Lahore will get metro but not anytime soon.

1.) First you need DPR.

2.) Then it has to be approved.

3.) Finance arranged.

4.) Land Acquisition.

5.) Tender launch.

6.) Site preparation.

7.) Actual construction.

8.) Inauguration

It will take minimum of 6-8 years before you get first Lahore Metro Train running.

 

[twoplustwoisfour]

That isn't generally a problem for such large scale projects. In the delhi metro, ticket prices are as low as 5 rupees. So that shouldn't be of much concern. Although development of the culture you speak of, should be.

Nope, ticket prices do matter a lot. Government have to recover the finances from somewhere. Delhi Metro is one of the most financially unviable projects, and because of this reason they are finding it difficult to arrange for debt financing for Phase III.

 

[MM_Haider]

I think its metro.

Well its just a news like announced many time before so wait for some time I am sure Lahore will get metro but not anytime soon.

1.) First you need DPR.

2.) Then it has to be approved.

3.) Finance arranged.

4.) Land Acquisition.

5.) Tender launch.

6.) Site preparation.

7.) Actual construction.

8.) Inauguration

It will take minimum of 6-8 years before you get first Lahore Metro Train running.

agreed with you. Since i have worked on Dubai Metro Project.. i know all the imlications though i am still not convinced it is Metro Project as some time ago Punjab CM was negotiating with Korea for the Mass Transit system which comprised of Busses..

Lahore Mass Transit Blog: Korean Firm interested in Bus Rapid Transit System & Mono-Rail Projects for Lahore

further regarding regarding tender financial assistance visit the below link in which some negotiations were going on with ADB.

http://www.adb.org/Documents/RRPs/PAK/40573-PAK-RRP.pdf

Well news is good but I don't believe such announcements anymore. Rememeber announcements regarding Pakistan Sattellite Launch, Motorway between Sialkot and Lahore, Motorway between Karachi and Sukkar, Karachi Circular Railway, Islamabad Airport, Islamabad Centurius Tower (going on for ages now) so on and so forth..

 

[ajpirzada]

That isn't generally a problem for such large scale projects. In the delhi metro, ticket prices are as low as 5 rupees. So that shouldn't be of much concern. Although development of the culture you speak of, should be.

how come its that low? subsidized? or economies of scale?

 

[Ajaxpaul]

Sir, I think this a good read and an authentic source for Information regarding Delhi Metro, from the Man who made it possible.

how come its that low? subsidized? or economies of scale?

Q&A: E Sreedharan, MD, Delhi Metro Rail Corporation

 

[twoplustwoisfour]

Really interesting interview there. I understand exactly where he's coming from, although he is suffering from the same lack of realistic expectations that most of our bureaucrats seem to be suffering from.

In the answer to the first question, he admits that the Metro is more of a social service that offers economic returns rather than financial. Yet, in the final answer, he is criticizing the private sector for not sharing enough of the financial burden for this project. I mean, isn't it simple? Why should a private party do the job of the govt.? They are not here for charity, they are here to make money!!

 

[aks18]

LAHORE, April 23: The board of directors of the Lahore Rapid Mass Transit System Project is expected to approve the project formally in a meeting scheduled to be held on Monday (today).

“We have signed an agreement with China on the Lahore Rapid Mass Transit System Project, which will be completed at a cost of $1.7 billion,” board chairman Khawaja Hassaan said on Saturday.


Mass transit project | Newspaper | DAWN.COM

---------- Post added at 07:50 PM ---------- Previous post was at 07:50 PM ----------

Punjab govt, China sign Lahore Mass Transit Project
LAHORE (APP): An agreement on Lahore Mass Transit Project to be completed at a cost of 1.7 billion dollars has been signed between Punjab government and China in Beijing. After Taunsa Power Project agreement, it is the second big achievement of the delegation visiting China led by Chief Minister Punjab Muhammad Shahbaz Sharif, says a handout here Saturday. Chairman Lahore Transport Company, Khawaja Ahmed Hassaan on behalf of Punjab government whereas Zhang Shiping, Vice President of NORINCO, an international company of China signed the agreement. Seven kilometre portion of urban rail spreading over a stretch of 27 km in Lahore from Gajumata to Shahdara on Ferozpur Road will be laid underground. As much as 85 per cent capital would be provided by China. Addressing the agreement signing ceremony, Chief Minister Punjab Muhammad Shahbaz Sharif said that the project prepared with the cooperation of China would prove to be a beginning of public transport system revolution in Pakistan. He said that the economic cooperation by China with Punjab had transformed into solid agreements out of MoUs. The Chief Minister said that the work on this project would be started during this year and the Punjab government was ready to welcome the Chinese engineers and skilled workers for this purpose.

 

[Veeru]

Nope, ticket prices do matter a lot. Government have to recover the finances from somewhere. Delhi Metro is one of the most financially unviable projects, and because of this reason they are finding it difficult to arrange for debt financing for Phase III.

??? Hello smell the coffee.

1.) Delhi Metro is one of the most efficient and profit making Metro in the world.

Delhi Metro pays back loan to JICA

The Delhi Metro Rail Corporation (DMRC) has paid back an amount of Rs.567.63crore to the Japan International Cooperation Agency (JICA). This amount includes the loan amount for Phase – I as well as the interest amount for Phase – I and II.

The Hindu : Cities / Delhi : Delhi Metro pays back loan to Japanese agency

2.) Fund is no problem the phase 3 has been approved and the work have already started.

Currently 8 more Indian cities are also building Metro, by 2015 about 12-14 cities will have Metro so funds are no problem at all.

 

[Veeru]

agreed with you. Since i have worked on Dubai Metro Project.. i know all the imlications though i am still not convinced it is Metro Project as some time ago Punjab CM was negotiating with Korea for the Mass Transit system which comprised of Busses..

Lahore Mass Transit Blog: Korean Firm interested in Bus Rapid Transit System & Mono-Rail Projects for Lahore

further regarding regarding tender financial assistance visit the below link in which some negotiations were going on with ADB.

http://www.adb.org/Documents/RRPs/PAK/40573-PAK-RRP.pdf

Well news is good but I don't believe such announcements anymore. Rememeber announcements regarding Pakistan Sattellite Launch, Motorway between Sialkot and Lahore, Motorway between Karachi and Sukkar, Karachi Circular Railway, Islamabad Airport, Islamabad Centurius Tower (going on for ages now) so on and so forth..

Yarr don't be pessimist its typical to south asia everything take some extra time and wastage but you know "Der aye par durust aye"

 

[Veeru]

Really interesting interview there. I understand exactly where he's coming from, although he is suffering from the same lack of realistic expectations that most of our bureaucrats seem to be suffering from.

In the answer to the first question, he admits that the Metro is more of a social service that offers economic returns rather than financial. Yet, in the final answer, he is criticizing the private sector for not sharing enough of the financial burden for this project. I mean, isn't it simple? Why should a private party do the job of the govt.? They are not here for charity, they are here to make money!!

You see here in India many Metro Projects are privatly owned, (Funded + Build + operated by private company) Like:

a.) Delhi Airport Metro Express - It was built with a cost of Indian Rupee Rs. 2,885 crore (US$640.47 million)[6] by Reliance Infrastructure.

b.) Rapid Metro Rail Gurgaon - The project is to cost Indian Rupee Rs.1,000 crore (US$222 million). ILFS has 74% equity and DLF has the remaining 26%. It is the first fully-private metros in India

c.) Hyderabad Metro (PPP) - The Phase I of the project includes 3 lines covering a distance of around 71 km and is expected to be operational by 2015.The cost is Rs. 12,132-crore (US$ 3 billion)

 

[twoplustwoisfour]

??? Hello smell the coffee.

1.) Delhi Metro is one of the most efficient and profit making Metro in the world.

Delhi Metro pays back loan to JICA

The Delhi Metro Rail Corporation (DMRC) has paid back an amount of Rs.567.63crore to the Japan International Cooperation Agency (JICA). This amount includes the loan amount for Phase – I as well as the interest amount for Phase – I and II.

The Hindu : Cities / Delhi : Delhi Metro pays back loan to Japanese agency

Servicing a loan is easy when the average interest rate charged to you is 1.6%. (Source: the interview posted by ajaxpaul above). If you read it again, you'd also notice that till now, Delhi metro has been barely able to make interest payments on that loan, while the moratorium period has just ended.

You might also notice that there is NO depreciation fund, which means that an equal amount of investment shall be required to replace the depreciated assets at the end of their life (on an average less than 20 years or so).

So yes, even if you are able to service your soft loans, it doesn't make the project financially viable.

How much dividend has DM given to it's equity investors till now?

2.) Fund is no problem the phase 3 has been approved and the work have already started.

Currently 8 more Indian cities are also building Metro, by 2015 about 12-14 cities will have Metro so funds are no problem at all.

Funding was a problem because Delhi govt. now doesn't have funds to make equity investment in Metro. Their part in phase III was picked up by DDA, who in turn changed the allignment of the metro to aid appreciation in DDA land rates.

BTW, the third phase is also 60% funded through soft loans.

Regarding other Indian cities, I'm currently not familiar with their structuring and am looking forward for you to share the same with all of us. I would like to see the tariffs charged by these private metros and the quantum of financial assistance provided to them by governmental/international agencies (in the form of viability grant/soft loans etc.)

 

[twoplustwoisfour]

You see here in India many Metro Projects are privatly owned, (Funded + Build + operated by private company) Like:

a.) Delhi Airport Metro Express - It was built with a cost of Indian Rupee Rs. 2,885 crore (US$640.47 million)[6] by Reliance Infrastructure.

Funded in the ratio of 60% by DMRC and 40% by Reliance. Would you like to compare the fares charged by the normal metro service and the airport line?

b.) Rapid Metro Rail Gurgaon - The project is to cost Indian Rupee Rs.1,000 crore (US$222 million). ILFS has 74% equity and DLF has the remaining 26%. It is the first fully-private metros in India

A strategic decision. Most of the land through which this metro line is passing is owned by DLF. The metro will result in tremendous capital appreciation. I'm waiting to see their proposed fare structure though.

c.) Hyderabad Metro (PPP) - The Phase I of the project includes 3 lines covering a distance of around 71 km and is expected to be operational by 2015.The cost is Rs. 12,132-crore (US$ 3 billion)

As I said, I don't know much about this line. Would appreciate more details.

 

[aks18]

guys this thread is not of delhi metro or mumbai metro its about lahore metro kindly keep away ur metroz.

 

[Veeru]

guys this thread is not of delhi metro or mumbai metro its about lahore metro kindly keep away ur metroz.

Sorry dude but that's related to financing thing.

But Its Lahore thread and we have to respect it, so no more off topic from now.

 

[Asian.Century]

Yeah, I heard that Lahore Metro and Underground Train System will be used in "War Times" too, it will be a network of tunnels and exit points for safe shelter, in case of any Nuclear outbreak, is this possible?