KOCHI: The Kochi Metro Rail Ltd is bracing to be the first metro services in the country to achieve operational profit in the next one year with the passenger footfall reaching 70-80,000 per day. Speaking to reporters on the sidelines of a meeting to showcase real estate assets of KMRL on Tuesday APM Mohammad Hanish managing director of the company said passenger footfall is expected to touch 70-80,000 per day with completion of the metro extension to Petta in Tripunithura by May next year from the present levels of 48,000 per day.
Along with the increase in the passenger inflow the KMRL authorities are also hopeful of doubling the income from non-fare box revenue, he said. At present the metro is having revenue of Rs 15 lakh from fare box and Rs 12 lakh from non-fare box per day, said Thiruman Archunan, director (projects) KMRL. “We hope to raise Rs 20- Rs 25 lakh per day from non-fare box revenue leasing out the commercial spaces in the metro stations and development of land assets in major metro stations”, he said.
At present KMRL is facing a revenue gap of Rs 10 lakh per day as the operational cost of metro is Rs 37 lakhs per day, he added. Although the running cost is expected to move up to Rs 47 lakh per day with the extension to Petta the increase in the passenger inflow to 70-80,000 and leasing of commercial spaces would make the company operationally profitable, Archunan pointed out.
According to Hanish with Rs 20 lakh income from non-fare box stream the company will have Rs 72 cr per year as revenue and which will go a long way in cushioning the revenue stream of the company. He said only 20 percent of the potential commercial spaces in the metro stations has been realized and the rest will be allocated to interested parties through tenders. A presentation made by the KMRL has shown that the lease rates vary from Rs 40 to Rs 100 per sq ft in different metro stations.
According to Hanish the rates could be finalized after having one-to-one negotiations with the interested parties. The metro station from Aluuva to MG Road is having 96 retail spaces with varying sizes and 9 office spaces ranging from 2,200 sq ft to 34,000 sq ft. Apart from these spaces KMRL is also looking for partners to develop its land assets in Aluva, Kalamasery, CUSAT, Kaloor and Edapally.
