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Corporators of WMC set precedent

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Source : The Hindu Date : 18.06.2009

Corporators of WMC set precedent

Staff Reporter


Pass resolution saying that they are not willing to work with the Municipal

Commissioner


WARANGAL: Setting a new precedent, the corporators of Warangal Municipal Corporation (WMC) unanimously passed a resolution surrendering the services of Municipal Commissioner Sivakoti Prasad to the State Government here on Wednesday.

Tough talk

For a long time, the Commissioner and Congress MLA B. Saraiah had locked horns for unknown reasons. On Wednesday, when the council met, Mr. Saraiah came down heavily on the Commissioner accusing him of working against him in the recent election.

“You launched a propaganda that I am going to lose the election. You intentionally took up developmental works in Hanamkonda but not in Warangal. You took excuse under the election code and stalled all the works in my constituency,” Mr. Saraiah alleged.

Though Mayor E. Swarna tried to come to the rescue of Mr. Sivakoti Prasad, those in the Congress party intervened. Corporator R. Bhaskar pointed out that the Mayor herself described the Commissioner as corrupt at one time and was now trying to shield him.

The TDP members suggested that if the corporators were not willing to work with the Commissioner, they should pass a resolution surrendering him to the State Government. Soon, the council passed unanimous resolution to this effect. All through the proceedings, Mr. Sivakoti Prasad remained silent and did not comment.

Surprisingly, deputy mayor E. Ravinder, who used to support the Mayor, suddenly switched sides and supported Mr. Saraiah.

The Mayor and Mr. Saraiah were not on good terms for a long time and as a result, the officials in the corporation were finding it difficult to function.

Last Updated on Thursday, 18 June 2009 10:42
 

Vijayawada-Hyderabad highway by 2012

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Source : The Hindu Date : 18.06.2009

Vijayawada-Hyderabad highway by 2012

Staff Reporter

The 181.5 km project may cost Rs. 1,200 crore: NHAI

— PHOTO: RAJU. V

I. G. Reddy, Project Director of National Highway Authority of India, addressing a meeting organised by the Andhra Chamber of Commerce and Industry in Vijayawada on Wednesday.

VIJAYAWADA: The work on the four-laning of Hyderabad-Vijayawada Road project will commence in December, and is scheduled for completion by 2012. The National Highway Authority of India (NHAI) will finalise the tenders by June. The 181.5 km project is estimated to cost Rs. 1,200 crore, according to I. G. Reddy, Project Director, NHAI.

He was delivering a talk on ‘Flyovers, ring roads in Vijayawada Urban organised by the Andhra Chamber of Commerce and Industry Association’ here on Wednesday.

Mr. Reddy said that the four-lane works, currently, were completed between Vijayawada and Nandigama, which is about 50 km and Hyderabad and Narketpally, a stretch of 40 km. The remaining 181 km would be converted into four lanes during this phase. The land acquisition would have to be taken up in as many as 65 villages on this stretch. The project would be taken up on a Build-Operate-Transfer (BOT) basis, he said.

A road under bridge (RUB) would be constructed at Chillakallu, and two major bridges would be constructed across rivers Paleru and Musi. Similarly, 14 minor bridges would be constructed on this stretch. Service roads with a total length of about 16 km at the following 11 locations would also be constructed. On this stretch, the NHAI has planned three major junctions and 12 minor junctions.

Explaining the reasons for delay, Mr. Reddy said that the NHAI invited bids for 181km road in February 2007. As many as 19 companies evinced interest. The NHAI shortlisted six companies based on the new model selection criteria introduced by the Finance Ministry and Planning Commission. Some infrastructure companies raised questions about the fairness of bidding process of the Authority, and aggrieved that the method of selection was not according to the norms, he said, adding, after legal hurdles the contract was awarded to GMR.

The traffic density on this highway varies at various places.

The traffic from Hyderabad to Narkatpally was high, and it came down by 20 to 30 per cent after Narkatpally. The traffic density fell further by another 20 to 30 per cent at Suryapeta. However, the traffic increased after Nandigama, he said.

Last Updated on Thursday, 18 June 2009 10:39
 

JNNURM: State’s move may put VMC in a fix

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Source : The Hindu Date : 18.06.2009

JNNURM: State’s move may put VMC in a fix

G.V.R. Subba Rao

Government likely to treat major portion of funds as loan

 


Norms say that 20 p.c. of cost must be ‘loan-cum-grant’

State may provide 18 p.c. as loan and 2 p.c. as grant


VIJAYAWADA: Dashing the hopes of Vijayawada Municipal Corporation (VMC) officials and leaders of the ruling Congress, the State government appears all set to retain a major chunk of funds pertaining to Jawaharlal Nehru National Urban Renewal Mission (JNNURM).

Taking shelter under official jargon, the government is all set to treat a major portion of its share as loan. JNNURM guidelines mandate the State government to provide 20 per cent of the cost of a project proposed by a local body as its share. However, as the guidelines have used the term “loan-cum-grant,” the government is gearing up to divide its 20 per cent share into two parts – 18 per cent as loan and the remaining 2 per cent as grant, official sources say.

This would mean the corporation’s share in JNNURM projects would increase to 48 per cent, instead of 30 per cent. The remaining 50 per cent would be contributed by the Central Government.

For instance, if the total cost of JNNURM projects is Rs.1,000 crores, the burden on the corporation would increase to Rs. 480 crores, instead of Rs.300 crores as estimated earlier. Though the officials say that the corporation has not signed any agreement on this so far, they agree that it would be inescapable.

Double whammy

The State government could choose to deduct its share either from the funds pending with it or from the statutory grants.

It has not been releasing its share or the Central Government’s share for some time now. The dues on this count are estimated to have accumulated to at least Rs. 250 crores.

As the VMC receives around Rs. 19 crores as statutory grants from the State government every year, the corporation would be at a loss in both scenarios. If the government decides to deduct its share from these grants, the corporation would not receive any funds for the next one and half decade. In the other scenario too, it would suffer a major set back if the government chooses to reduce its share from the funds pending with it.

The VMC has, of late, been spending general funds to maintain the momentum of JNNURM works. Recently, the contractors involved in these works agitated as there was immense delay in payment of bills.

Municipal Commissioner P.S. Pradyumna held parleys with them and told them the corporation was expecting clearance of dues from the State government any moment, and assured them not to worry.

Officials fear that it would be a Herculean task for the corporation to foot the salaries and meet other revenue expenditure if the government is serious about its decision to change the pattern of release of funds under JNNURM.

Last Updated on Thursday, 18 June 2009 10:36
 


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