There has been a delay in signing the MoU, as a severance package must be finalised. However, talks are under way to arrive at the final amount soon.
| Photo Credit: B. JOTHI RAMALINGAM
The State government plans to begin the Chennai Metro Rail’s takeover of the Mass Rapid Transit System (MRTS) within three months.
A government order (G.O.) will soon be issued, after which a Memorandum of Understanding (MoU) will be signed between the State government and Southern Railway in this regard.
Afterwards, a second G.O. will be issued, directing the Chennai Metro Rail Limited (CMRL) to take over the MRTS stations for upgrading them. Sources said these processes were likely to be completed by December this year.
While the government has been holding discussions and is keen to sign the MoU soon, there is a delay in signing the document, as a severance package must be finalised.
This package contains details of how much the State government has to pay Southern Railway with respect to assets such as land and other infrastructure. Talks are under way to arrive at the final amount soon.
In-principle nod
The Railway Board issued the in-principle approval for the takeover only in July last year. After protracted discussions, the board gave the nod for the MoU in August this year.
The CMRL must take over the MRTS within 90 days of the signing of the MoU and will have two years to complete the process, after which it will assume full charge of the system.
Meanwhile, the State government wrote to the Ministry of Housing and Urban Affairs two months ago to take up the ‘MRTS Rejuvenation’ project as a Central sector one, as it will require nearly ₹6,600 crore. It plans to seek loans for carrying out this project that aims at revamping the MRTS stations.
Published – September 30, 2026 11:18 pm IST
