It is reported that Maharashtra Cabinet's committee on infrastructure has decided to enhance the scope of Mumbai Trans Harbour Link project connecting to Sewari and Nava Sheva. Now the project will have 8 lanes instead of earlier plan of 6 lanes. This will increase the cost of project from INR 6,000 crore to INR 7,700 crore.
Mr Anil Deshmukh PWD minister said that "The CCI has decided to give the responsibility of raising the funds for the project to the Mumbai Metropolitan Regional Development Authority and executing it to Maharashtra State Road Development Corporation. If everything works according to plan by April or May in2009, we will be in position to give work orders for Engineering Procurement and Construction contract."
The CCI also accepted the proposal by the MMRDA on how to recover the cost incurred on the project. Under the plan, besides levying of toll on vehicles impact fee will be levied on the real estate transactions in areas which will see escalation in the prices because of the construction of the MTHL and commercial exploitation of areas near MTHL will be also allowed to MMRDA.
The MMRDA, which has cash reserves of around INR. 10,000 crore, will contribute INR 2,400 crore for the project and also take the responsibility of paying back the debt which will be raised to fund the project.
