BHOPAL METRO RAIL PROJECT

The project concerns the construction of two lines of metro totaling 31 km with 30 stations and purchase of a related fleet of metro cars in Bhopal, Madhya Pradesh, central India.

The project is in line with the EU Country Strategy Paper for India which highlights the infrastructure gap and need to address rising greenhouse gas emissions. It will contribute to make Bhopal safer and more business-friendly through low carbon and climate resilient urban infrastructure and improved access. The project will also improve the business environment for private sector development and facilitate access to amenities and jobs. The aim is to contribute to the two main objectives of EIB External Mandate: (i) climate change mitigation, by promoting modal shift from road to rail while reducing greenhouse gas emissions, and (ii) social and economic infrastructure development, by contributing to urban development.

In India, metro projects do not fall within the scope of the relevant Environmental Impact Assessment (EIA) legislation unless the built up area is beyond a defined threshold, in which case the project is subject to screening by the State level Competent Authority. The status of screening, if any, is to be determined during appraisal. The project has in any case been subject to an environmental and social impact assessment. The further steps in assessing and managing environmental risks are to be reviewed during appraisal. The project requires the acquisition of about 32 ha of land and entails some permanent involuntary resettlement. Compliance with relevant EIB Social Standards is to be reviewed.

The Bank will require the promoter to ensure that implementation of the project will be done in accordance with the Bank's Guide to Procurement.