DMRC has proposed 50% hike in property tax for areas which enjoy a higher price for property due to its proximity to the alignment of the metro.
Although State government approved the detailed project report (DPR) of Trivandrum Metro Rail project submitted by DMRC almost after a year, the government is yet to approve the ‘supplement to DPR’ submitted by DMRC on November-end. It is reported that the DPR will be approved only after a thorough scrutiny. This means Metro Rail project for Trivandrum and Calicut will delay further.
DMRC prepared the Supplement to DPR after central government launched its new Metro policy which is a guideline on how to execute metro projects. As suggestions to enhance revenue and thereby reducing the burden on government, the metro policy has proposed measures such as transit-oriented development (TOD) and value capture finance (VCF). The report has included suggestions such as to increase property tax and floor area ratio (FAR) for areas which enjoy benefits of the metro.
State Government has formed a committee headed by finance secretary to study the report as the suggestions in the report will invite public protest. The board meeting of Kerala Rapid Transit Corporation Ltd (KRTL), which met on December 15, forwarded the report for secretary-level decision. The report will be submitted for cabinet clearance only after the secretary-level committee approves it.
DMRC has proposed 50% hike in property tax for areas which enjoy a higher price for property due to its proximity to the alignment of the metro. It has also suggested an increase in FAR from 2.5 to 4 so as to bring more development.
In addition to the new proposals, the report has revised the estimate to Rs 7,446 crore.
Meanwhile, the preliminary infrastructure development project for the metro such as the road widening of the Kazhakkoottam-Kesavadasapuram stretch and the construction of 4 flyovers in the city is yet to start. Government is likely to take steps only after getting sanction from the Union ministry.
The government has initiated steps for land acquisition for construction of the flyover at Sreekaryam.
The draft report for the Ulloor flyover too has been given sanction. However, approvals are still pending for the proposals of Pattom and Thampanoor flyovers.