Indian Railways cancelled the Rs 4,733 crore fund allocated under the metropolitan transport project (MTP) during the Railway Budget 2012-13.
The railways cancelled the allocation primarily because allocation exceeded the absorption capacity of metropolitan transport projects located in Hyderabad, Chennai and Kolkata, reports suggest.
The cancellation of the allocation is also attributed to reduction in the internal revenue generation by the railways.
The railways had proposed to fund the plan size of Rs 60,100 crore from the internal resources of Rs 18,050 crore.
From the income side, the cut was effected in internal generation, partly because of the rollback of revised fares announced by Trivedi and because of scaled-down earnings of freight traffic, owing to a slowdown in the economy.
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