The City and Industrial Development Corporation (CIDCO) is exploring non-farebox revenue sources to ensure the financial sustainability of its Metro operations. CIDCO will hold a workshop on October 7, 2024 to provide potential bidders with detailed insights into the available commercial spaces and offer a platform for interaction.
Since launching services on November 17, 2023, the Navi Mumbai Metro's Phase 1 route between Belapur and Pendhar has received a positive response from commuters.
However, farebox revenues alone are insufficient to cover the capital and maintenance costs of public transport projects like the Metro. "Considering the capital-intensive nature of Metro operations, they cannot rely solely on farebox revenues for financial viability," said an official involved with the project. He emphasized that delivering world-class commuter services requires significant financial investment, prompting CIDCO to seek alternative revenue streams.
To this end, CIDCO issued a Request for Proposal (RFP) for the licensing of spaces along Navi Mumbai Metro Line 1 for retail and commercial use. Each metro station offers 40 sq. meters of indoor commercial space, while a total of 7,065 sq. meters across five stations is available for outdoor commercial purposes.
As part of this initiative, CIDCO will host a workshop on October 7, 2024, at 11:30 AM at the Central Park Metro Station in Kharghar. The workshop will provide potential bidders with detailed insights into the available commercial spaces and offer a platform for interaction. Participants will also gain an overview of Navi Mumbai Metro Line 1, its significance for regional connectivity within the Mumbai Metropolitan Region (MMR), and licensing opportunities for retail and commercial spaces. Topics such as the tendering process and eligibility criteria will also be covered, followed by a site visit to the Metro stations.
The indoor commercial spaces at each station are suitable for a variety of uses, including quick-service food and beverage outlets, retail stores, electronics shops, bookstores, florists, apparel shops, and gift stores. The outdoor spaces, measuring 7,065 sq. meters, offer opportunities for larger ventures such as supermarkets, car showrooms, retail stores, corporate offices, and more.
According to the proposal, approximately 1,118 sq. meters of indoor space will be available across 11 metro stations, with an additional 7,065 sq. meters outside the stations. "Each station will feature at least two fixed kiosks and one movable kiosk, along with two ATMs," noted a CIDCO official. These facilities will form part of the indoor retail inventory.
Outdoor retail spaces will be located on the ground floors of the stations, with the largest areas available at Kharghar Village and Amandoot stations, each offering 2,370 sq. meters.
As per the detailed project report, Navi Mumbai Metro's daily peak hour ridership is projected to reach 76,598 by 2031. Had services commenced earlier, the ridership would have been around 49,661 in 2021, including both boarding and alighting passengers.