L&T Hyderabad Metro Rail Private Limited
The Andhra Pradesh government signed a concession agreement with L&T Hyderabad Metro Rail Private Limited for development of the 12,132 crore Hyderabad Metro Rail Project under the Public-Private Partnership initiative. This would be the first project with a single largest investment in Andhra Pradesh, chief minister K Rosaiah said. The Andhra Pradesh government awarded the Hyderabad Metro Rail Project to Larsen and Toubro Limited on August 4, after the $9.8 billion engineering and construction company emerged as the lowest bidder, seeking only 1,458 crore as viability gap funding. The VGF amount would be released by the Centre, while the AP government would spend 1,980 crore towards acquisition of 204 acres at two places in Hyderabad as well as relief and rehabilitation of the affected people. L&T Hyderabad Metro Rail is the special purpose vehicle (SPV) formed by L&T for executing the project on a design, finance, build, operate and transfer basis under the PPP model. Noting that it was a ‘high priority’ project for the state government, the chief minister said it would be a jewel not only for Hyderabad but also the country.