The Indian government and the German Development Bank – KFW (Kreditanstalt für Wiederaufbau) – have signed a loan of 442.26 million euros for the Surat metro project, according to a recent official statement issued by the Ministry of Finance . The project aims to harness solar energy in the two depots of the Surat metro.
Mr. Rajat Kumar Mishra, Deputy Secretary, Department of Economic Affairs, Ministry of Finance, signed agreements for the Surat Rail Metro Project on behalf of the Government of India, while Ms. Claudia Schmerler, Division Head, Climate Finance and Mobility urban, signed for KFW.
The total cost of the project turned out to be 1.50 billion euros, of which KFW will finance 442.26 million euros. The project is co-financed by the French Development Agency, AFD (French Development Agency). The agreement with AFD for 250 million euros was signed on January 28, 2021.
“The 40.35 km Surat metro project aims to strengthen and increase the transport infrastructure of the metropolitan area of Surat. It will relieve traffic congestion and provide integrated city and land use planning through transit-oriented development. The project also aims to build an integrated multimodal transport system in the area of influence of the metro corridor to provide first and last mile connectivity and better access to the metro system. In addition, solar energy will be exploited in the two depots of the Surat metro, ”the finance ministry said in its statement.
The project is envisioned and planned to have a transformational impact in terms of creating reliable and safer public transport, leading to reduced congestion, reducing long delays on major travel corridors in Surat city and urban areas by providing an integrated mass transport system for the general public.
“The project will have a positive impact on the standard of living and the surroundings of the city of Surat,” the statement added.
Last month, Germany, Europe’s largest economy and power, announced new development commitments of more than € 1.3 billion (around Rs 10,025 crore) to India, aimed at helping the latter in its measures to combat climate change and add more renewable energy.