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Centre likely to clear revised DPR for INR 11,500 crore Vizag Metro project, paving way for final approvals

#Law & Policy#Infrastructure#India#Andhra Pradesh#Visakhapatnam
Visakhapatnam News Desk | Last Updated : 16th Feb, 2026
Synopsis

The Union government is expected to grant approval soon for the revised Detailed Project Report (DPR) of the proposed Vizag Metro Rail project, sources said, with an in-principle approval order anticipated within the next few days. Once cleared, the project will be referred to relevant ministries and placed before the Public Investment Board for appraisal and final sanction. The metro scheme, covering approximately 46.23 km with 42 stations across three corridors, carries an estimated cost of INR 11,500 crore. Funding is planned jointly by the Union and Andhra Pradesh governments, each contributing around 20 per cent, while the balance is expected to be raised from international lenders at competitive rates. Tendering activity has already started ahead of formal approval, with the successful bidder likely to be announced once the DPR is finalised. Approval is seen as a key milestone in advancing urban mobility and infrastructure in the city.

The Union government is poised to accord approval for the revised Detailed Project Report (DPR) of the proposed Vizag Metro Rail project, a major urban transport initiative in Visakhapatnam, according to industry sources. An in-principle approval order is expected shortly, following which the Centre will seek feedback from multiple ministries and subsequently place the project before the Public Investment Board for detailed appraisal and final sanction.


The revised DPR outlines three metro corridors with a combined network length of approximately 46.23 km and 42 stations, at an estimated cost of INR 11,500 crore. These corridors are planned to enhance connectivity across key urban and peri-urban zones of the city. The proposed network includes a double-deck corridor running along the national highway between Vizag Steel Plant (VSP) junction and Kommadi, with additional links between Gurudwara and Old Post Office junction, and from Thatichetlapalem to Chinna Waltair.

Funding for the project is expected to be a joint effort, with about 20 per cent of the cost shared by the Union government and an equivalent share provided by the Andhra Pradesh government. The remaining capital is anticipated to be sourced from international financial agencies at lower interest rates. The tendering process for the project was initiated months ago, even before formal approval of the revised DPR, reflecting a push to accelerate implementation. Once the DPR receives final clearance, the successful bidder is likely to be confirmed within weeks.

Land acquisition is underway to support the project's infrastructure. Approximately 99 acres have been earmarked, with the majority owned by government bodies and a smaller portion in private hands. A district committee has been constituted to identify and facilitate acquisition of required land parcels.

Approval of the revised DPR represents a key milestone for the Vizag Metro initiative, which aims to transform urban mobility in Visakhapatnam and support broader economic growth. By expanding rapid transit capacity, the project is expected to ease congestion, improve connectivity and catalyse transit-oriented development in the region.

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