The Maharashtra Cabinet, led by Chief Minister Eknath Shinde, has approved the Rs 122 billion Thane Circular or Integral Ring Metro Rail project. This 29-km metro rail system will feature 20 elevated stations and two underground stations. The funding for the project will be shared equally between the Centre and the state government, with additional financial support from bilateral agencies and innovative financing methods, such as selling station naming rights, monetising assets, and value-capture financing.
Thane is Chief Minister Shinde’s home city, and the Cabinet’s approval follows the Centre’s endorsement on August 16. Maha-Metro will be responsible for executing the project, including civil, electro-mechanical, and related works. Pre-bid activities and tender document preparation have already begun, with contracts expected to be floated for bidding soon.
The state government has directed the Thane Municipal Corporation to contribute ₹5,078.04 crore towards equity and cover land acquisition, rehabilitation, and resettlement expenses. An interest-free secondary loan of Rs 969.75 crore will also be provided by the state. The finance department has emphasized that Maha-Metro should repay this secondary loan after fulfilling obligations to multilateral agencies in a timely manner.
According to the Chief Minister’s Office, this project will offer a sustainable and efficient mode of transport, unlocking the city’s economic potential and alleviating road traffic congestion. It is anticipated to reduce greenhouse gas emissions as well. The project aims for completion by 2029 and is expected to serve a total daily ridership of 647,000, 761,000, and 872,000 passengers in 2029, 2035, and 2045, respectively. The state government has instructed Maha-Metro and the Thane Municipal Corporation to ensure timely completion and prevent cost overruns. Maha-Metro has been designated as the special planning authority for the area impacted by the metro construction, including parking and property development.
