Metro project faces a reset as DMRC terminates existing contracts due to delays, A revised plan is in progress, signaling a fresh start rather than a full stop
OdishaPlus Bureau
The Delhi Metro Rail Corporation (DMRC) has formally ended construction contracts for the Bhubaneswar Metro project, citing persistent delays in execution.
Contracts with Ceigall India Limited and Ranjit Buildcon, the two companies responsible for constructing elevated viaducts and stations for Phase I, were terminated on July 25, subjecting the stalled project to renewed examination.
An official statement from the companies indicated that the termination pertains to the design and construction of elevated viaducts and six metro stations located between Nandan Vihar and Trisulia Square, which includes the depot ramp.
As per a filing under Securities and Exchange Board of India (SEBI)’s Listing Obligations and Disclosure Requirements, Ceigall India has been notified that the project has been canceled in its current state. The company has expressed intentions to seek compensation through available contractual remedies.
Sources have confirmed that construction activities have been on hold for almost eight months, with no apparent advancements on-site. The reported delays are attributed to a mix of logistical, financial, and coordination challenges between the contractors and the DMRC. The decision to terminate was made to reset the process rather than to abandon the project completely.
Despite the sudden termination, government officials assert that the Bhubaneswar Metro project is still ongoing, albeit in a modified form. On July 16, a high-level sub-committee meeting, led by Deputy Chief Minister KV Singh Deo, deliberated on the future of the Bhubaneswar Metro and the broader urban mobility initiatives for the capital.
Officials reviewed proposals designed to alleviate city traffic congestion and improve public transport infrastructure, positioning the metro project as a key element of these strategies. Following the meeting, Law Minister Prithviraj Harichandan indicated that a dedicated inter-ministerial task force is already engaged in developing a revised Detailed Project Report (DPR), to restart metro construction under a new framework.
Once the updated DPR is completed, new tenders will be issued, and construction activities are anticipated to recommence.