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National

CAG report flags Metro ridership and revenue shortfalls

hellohimachalse@gmail.com 12 Aug 2026 1 hour ago

Bengaluru: The Comptroller and Auditor General’s performance audit on the implementation of Phase 1 and Phase 2 of the Bangalore Metro Rail Project by Bangalore Metro Rail Corporation Limited has been tabled in Parliament.

The report records that passenger numbers on Bengaluru Metro trains have remained well below expectations and that revenue targets have not been met. Between 2016-17 and 2022-23 the Corporation anticipated fare revenue of Rs. 7,736.70 crore yet collected only Rs. 1,758.13 crore, achieving 22.72 percent of the goal.

Land acquisition expenditure simultaneously rose by Rs. 6,603.39 crore. Peak Hour Peak Direction Traffic in 2021 ranged from 6,429 to 8,852 passengers, far short of the 15,000-passenger threshold required for a heavy metro system. Even by 2023 the original ridership target framed in 2007 had not been reached. The shortfall in passengers directly reduced income. Inadequate last-mile connectivity around stations, insufficient integration with BMTC services and limited parking facilities are identified as obstacles to

higher ridership.Land acquisition costs exceeded estimates by Rs. 835.81 crore in Phase 1 and Rs. 5,767.58 crore in Phase 2. Although 45.24 hectares were projected for Phase 1, 62.67 hectares were taken; for Phase 2 the estimate of 165.09 hectares resulted in the acquisition of 145.16 hectares. Delays in the process generated an extra interest outgo of Rs. 186.86 crore, while additional compensation payments totalled Rs. 294.72 crore.The absence of proper foot overbridges or underpasses for crossing the national highway near Nagasandra, Peenya, Peenya Industrial Area, Jalahalli and Dasarahalli stations is also noted. From 2013-14 to 2021-22 the Corporation incurred losses and remained dependent on the state government because its own revenues proved insufficient to service external loans. Approximately 2.23 lakh square feet of Metro property stood vacant, representing a forgone lease income opportunity of Rs. 38.53 crore.

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