The State Cabinet has approved an SPV to develop and operate the proposed Namo Tarang Goa Water Metro./Representational image

GOA (Metro Rail News): The Goa Cabinet has approved the formation of a special purpose vehicle (SPV) to develop and operate the proposed Namo Tarang – Goa Water Metro. The move comes as Kochi Metro Rail Limited (KMRL), which is preparing the project’s DPR, is expected to complete the report by October, while funding from the Centre is yet to be formally confirmed.

The SPV will be responsible for implementing, financing, operating and maintaining the water metro once it becomes operational.

The government has designated the River Navigation Department (RND) as the nodal agency for incorporating the SPV under the Companies Act, 2013. RND will work with the state Finance and Law department to finalize the companies:

• Memorandum and Articles of Association
• Staffing structure
• Governance agreement
• Other incorporation requirements

The project SPV will also act as the main agency for coordinating with the center and its departments during project execution.

KMRL was appointed to prepare the Detailed Project Report (DPR) for the Goa Water Metro. According to the state government, nearly half of the DPR work has been completed. The report is expected to be submitted by October. 

The DPR will form the basis for assessing the project’s technical requirements, cost, implementation plan and funding needs. The Goa government had also requested the Centre to provide ₹10 crore towards the cost of preparing the DPR.

While the state has moved ahead with the institutional structure, the project’s funding plan is not yet settled. Chief Minister Pramod Sawant has sought full funding from the Union Ministry of Ports, Shipping and Waterways. 

The Union ministry has given an in-principle indication that it could consider the project for central funding. However, the state has not yet received a formal written confirmation. This leaves the funding arrangement as one of the key issues to be settled after the DPR is completed.

The proposed company will have a role beyond construction. Its responsibilities will include:

• Coordinating with the Central government and its agencies
• Securing financial support
• Implementing the project
• Managing project execution
• Operating the water metro
• Maintaining the system after commissioning

The creation of the SPV is therefore intended to establish a dedicated institutional structure before the project moves into the execution stage.

Also Read: Goa Water Metro DPR Under Preparation as Feasibility Study Is Completed