“We can raise debt to the extent of 80 per cent of the project cost. We are in talks with various foreign agencies like the World Bank and the Japan International Cooperation Agency, Asian Development Bank among others for funding,” MMRDA Commissioner UPS Madan told PTI here.

The MMRDA has so far received funding from the World Bank for phase I
and II of the Mumbai Urban Transport Project (MUTP), while it has
received a loan sanction to the extend of Rs 13,235 crore from Japan International Cooperation Agency (JICA) for the underground Colaba-Bandra-Seepz Metro corridor.

The state received a major setback as MMRDA did not receive any bid for
the 22-km Mumbai Trans Harbour Link project last month.

“We
have decided to develop the project on our own on engineering,
procurement and construction basis. We will come out with a plan soon,”
Madan said.

The MMRDA is the implementing authority of the Rs
9,630 crore project connecting Sevri in the northeastern coast of the
megapolis and Nhava across the sea, which is to be developed on
built-operate-transfer basis.

According to an MMRDA official,
the authority had provided all the necessary assistance to mitigate all
kinds of risks for the private sector, right from clearances to assuring
financial assistance. Yet no bids were received.

After
repeated failed attempts, MMRDA had extended the deadline for
shortlisted consortia to submit bids to July 5 from the earlier May 24.

However, the nodal implementation authority further extended the
deadline to August 5, after the shortlisted bidders requested for
additional time to finalise the bids.

Meanwhile, the state had
also approached the Centre for making changes in the model document of
the project on certain terms and conditions to address some of the
issues faced by the private sector.

To address some of its financial risks, Union finance ministry in January this year, sanctioned viability gap funding to the tune of Rs 1,920 crore for the project.

Besides, the empowered committee of the finance ministry had also approved 10 per cent shortfall loan to the MTHL concessionaire.

Meanwhile, the phase I of Mumbai monorail between Wadala and Chembur as
well as the first metro line Vesova-Andheri- Ghatkopar will become
operational by December, Madan said.