Hyderabad Metro Phase II Cost has increased by ₹1,915 crore due to delays in getting approvals

The cost of Hyderabad Metro Rail Phase-II has increased by ₹1,915 crore due to delays in getting approval from the Centre. According to the revised Detailed Project Reports (DPRs), the cost of the 122.9-km project has now increased to ₹38,595 crore from the earlier estimate of ₹36,680 crore. The construction

cost per kilometre has also risen from around ₹298 crore to ₹314 crore. The state government has warned that if approvals are delayed further, the cost could rise to nearly ₹350 crore per kilometre, taking the total project cost beyond ₹40,000 crore.

Hyderabad Metro Phase I

Hyderabad Metro Phase-I currently runs on three corridors covering 69 km and was built at a cost of ₹22,000 crore. After the state government took over the Phase-I project from L&T, changes were made to the proposed Phase-II routes, and fresh DPRs were submitted. At first, five corridors were planned under Phase II, and later three more corridors were added following public demand. Together, these eight corridors covered 162.5 km and were estimated to cost ₹43,848 crore. However, the Future City corridor was later removed from Phase II and shifted to Phase III because it was considered financially unviable for now.

Reason behind the Sudden Rise in Cost of Hyderabad Metro

The government has explained that the rise in cost is due to several difficult construction challenges. The proposed Old City corridor will pass through highly congested areas and near 21 heritage structures, which means road widening, longer spans, and extra protection work will be needed. A three-level interchange station at Chandrayangutta and special structures, including portal piers, will also add to the cost. Similarly, an underground station at Shamshabad airport, with special spans across the Outer Ring Road, double-deck sections, extra pocket tracks, and reversal tracks on different corridors, has further pushed up the estimates.

Signalling and telecom costs have also increased because Phase II must use the same advanced CBTC system used in Phase I. Despite the higher cost, the government has told the Centre that all seven Phase-II corridors are economically viable, with projected benefits such as less traffic congestion, lower pollution, reduced travel time, and improved metro connectivity across Hyderabad.