The Memorandum of Understanding (MoU) for the Chennai Metro Rail’s takeover of the Mass Rapid Transit System (MRTS) is likely to be signed in January 2026, sources said.
The Tamil Nadu government and Railways were initially expected to sign the MoU in December. However, it may take more time to arrive at a consensus after discussions with Railways and to formalise this process, according to a source.
If the State government plans to completely elevate MRTS to the Chennai Metro Rail’s standards, it may require nearly ₹4,200 crore for this project. “The total takeover cost has still not been finalised. It depends on factors such as whether all the systems in the MRTS network need to be changed. Only based on this decision, will the final cost be arrived at,” he added.
According to officials of the Chennai Metro Rail Limited (CMRL), the State government has been holding discussions with World Bank for a loan to fund this project.
“We are drafting a tender for procuring 25 three-coach air-conditioned trains initially. After the MoU is signed, the bids will be floated,” an official said.
