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NMC gives more time to laggard JNNURM projects

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The Times of India            27.11.2013

NMC gives more time to laggard JNNURM projects

NAGPUR: Nagpur Municipal Corporation (NMC) has virtually accepted that the multi-crore projects sanctioned under Jawaharlal Nehru National Urban Renewal Mission (JNNURM) will not be completed even in revised deadline. It has extended the deadline by more than three months, beyond the one fixed by the Centre. This would not only threaten the funds for the project but would also escalate the cost.

NMC's monthly progress report on JNNURM for October revealed the shocking fact. The projects given extra time up to March 31, 2014 from December 31, 2013 include 24x7 water supply, 135 MLD sewage treatment plant (STP), Pench-IV water treatment plant, railway overbridge at Itwari, Ram Jhula, water supply scheme in NIT area, two projects of Pench-IV water supply scheme and railway overbridge at Maskasath.

According to NMC's data, the Centre approved 19 projects for the city worth Rs 1,581.22 crore between 2006 and 2009, most of them in 2006-07. The deadline for completion of works was different for each but final deadline for all was March 31, 2012. The civic body could complete only six projects by that time. The Centre extended the deadline to March 31, 2013. Even by that date, NMC had nine projects pending and suffered additional burden of Rs 400 crore as costs went up.

The Cntre in March again gave time till Dec 31, 2013 making it clear that all civic bodies would have to ensure completion of all projects by then and avail funds by March 31, 2014. The centre even warned of recovering the unutilized funds with interest. Accordingly, NMC set the final deadline of remaining nine projects as December 31, 2013, which too will now be missed. Worse, at least four projects may not complete even by March 31, 2014 going by their current status. Progress on 24x7 water supply scheme is just 34% while STP project is at 48%. Already, NMC has lost Maskasath railway overbridge due to delay.

The expected escalation in projects' cost would be known only after completion of projects. NMC figures say, expenditure as on October 31 was Rs 1,098.41 crore against approved cost of Rs 1,581.23 crore. Funds received from the centre and state along with NMC's own contribution amount to Rs 1,141.55 crore. Thus there is a shortfall of around Rs 430 crore.

Standing committee chairman Avinash Thakre held various government departments responsible for delays. "NMC is facing problems in getting approvals and no-objection certificates. Centre should step in to clear hurdles or extend the deadline. However, we will not lose any funds as most claims are likely to be made before the final deadline," he said.

Slamming NMC administration, leader of opposition group Vikas Thakre demanded an inquiry into delay and also into alleged irregularities in projects.