In response to the letter written by Delhi Chief Minister Arvind Kejriwal asking the central government to put proposed hike in metro fares on hold, Minister of Housing and Urban Affairs Hardeep Singh Puri stated that the metro act does not allow centre to intervene, however, a new Fare Fixation Committee could be formed if the Delhi government agrees to pay over Rs 3000 crore every year to Delhi Metro Rail Corporation (DMRC).

“The Committee’s (FFC) recommendations are binding on the Metro Rail Administrations as per provisions of Section-37 of this Act (Metro Act). Neither the Central Government nor the State Government or even the Board of the Company has legal power to change the recommendations made by the FFC”, mentioned Puri in a letter written to Delhi CM.

He added, “Your (Kejjriwal) suggestion that this Ministry direct that the fare increase be kept on hold overlooks the fact the central government does not have any such authority. Tampering with the recommendations of FFC is legally untenable”.

On increase in the fare of metro twice in five months, the minister said that FFC recommended that the fare hike, which last happened in 2009, should be divided into two instalments, therefore, one came into force in May this year and the second increase will be effective from 10th October.

Puri said that the people of Delhi are looking for efficient, reliable, quality and punctual metro services, and the DMRC should work as an autonomous company as it is in the best interest of the people of national capital.

Delhi Metro Rail Corporation (DMRC) is owned by the Centre and State in a 50:50 joint venture. The Delhi State Government has been asking DMRC to hold the second phase of fare hike - which will come into effect from October 10 while the Central Government is stating that fare hike cannot be kept on hold.

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