Amid protest, Delhi Metro says need fare hike for world-class services

Delhi Metro trial run held at Mayur Vihar. (Express Photo/File)

Amid protests from the AAP and the BJP over the proposed hike in Metro fares, the Delhi Metro Rail Corporation (DMRC) Saturday maintained that it is “necessary” to meet the input costs and “provide world-class service to commuters”. Sources confirmed that the DMRC is likely to implement the new fare on October 3.

The DMRC said fares have been decided independently by the Fare Fixation Committee, and that Metro fares are on par with “other metros” in the country. “To continue to provide a world-class service, it is essential to operate as a healthy organisation. However, since 2009, there has been no fare increase whereas the input cost of DMRC has increased by over 105 per cent in energy, 139 per cent in staff cost and 213 per cent for repair and maintenance,” a DMRC official said.

He added that the Metro’s input cost has increased as it is “consistently increasing the number of trains, lifts, escalators and other passenger services that are essential in providing a world-class service”.

Read: Withhold hike in Metro’s fare till it is reviewed: CM Kejriwal to Union minister

“Once Phase-III of the Delhi Metro is fully operational, commuters on many routes will travel shorter distances and will be paying lesser fares,” the corporation said.

Citing various factors, the DMRC had said it made a net loss of Rs 378 crore in 2016-17.

“DMRC has taken a huge loan from the Japan International Cooperation Agency (JICA) and Rs 26,760 crore is to be paid back. Moreover, the DMRC has to provide for depreciation and replacement of various assets such as the trains (rolling stock) which have a life of 30 years… Despite operating efficiently, the DMRC is making a net loss of Rs 378 crore in view of the above factors,” it said.

Officials added that increased cost in overall operations and maintenance, as the Metro system gets older, has resulted in “more maintenance procedures, preventive and corrective checks, safety and reliability checks, replacement of electrical fittings (such as insulators), base plates and rail testing”.

“DMRC is constantly making efforts to reduce its operating costs by going for solar power projects and increasing energy efficiency at its stations,” an official said.