The UT administration of Chandigarh is taking steps to implement the 37.57-km metro rail corridor project covering Chandigarh, Panchkula and SAS Nagar.
The project, which is estimated to cost Rs 10,900 crore, would be implemented through a special purpose vehicle (SPV). The cost of the project would be shared between the centre, UT administration and governments of Punjab and Haryana.
An SPV is a limited company that is formed to meet a specific objective. UT administration and governments of Punjab and Haryana are holding discussion on setting up the SPV. The three stakeholders will nominate nodal officers and discuss the formation of a core team for the project.
The decision to form an SPV was taken in a recent meeting under the Union ministry of urban development (MoUD).
An SPV can be registered under the Companies Act as a public sector body, either wholly owned by the centre or with equity participation from the state governments.