The Times of India 21.12.2009
Civic finance dept wants to scrap parking lot plan
MUMBAI: The civic finance department wants to roll back the proposed Rs 444 crore project to have seven underground parking lots in South Mumbai. The proposal was passed in a rush just before the code of conduct was enforced for the assembly elections in September.
To tide over the financial crisis due to the sudden increase in establishment cost (74% of the total budget in five years), the finance department has suggested to the standing committee to scrap the contract and go back to the public-private-partnership (PPP) model.
The BMC had planned to have two parking lots near Crawford Market (one near the police headquarters and the other near Manish Market) and two at Hutatma Chowk, one each near Eros, Regal Cinema and Jehangir Art Gallery. The overhead parking lots in these areas were to be dismantled once the new ones became functional. It would have created space for 1,440 cars at any given time as against the current 700 cars.
When the civic authority invited tenders for the underground parking lots, it had done so on the basis of the PPP model in which the contractor would do it on a design-build-operate-and-transfer (DBOT) basis. The contractor was also to be given 30% of the total space for commercial exploitation. This was in keeping with the recommendations of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM).
The BMC received six bids. Just before the opening of the bids, it declared that due to security reasons, it will construct the parking lots on its own. Also, 30% space would be used to accommodate additional cars.
Transport expert Ashok Datar, who was asked to vet the technology to be used for the underground parking lots, told TOI that the contract must be scrapped. "The technology is good but the scheme is anti-environment,'' he said.
Datar explained that the BMC would spend Rs 30 lakh per car space, excluding the land cost, which is at a premium across Mumbai. The parking lots would facilitate the entry of more vehicles into South Mumbai at a time when the government should be discouraging people from using private vehicles. "It is anti-environment as it will increase traffic jams. It is subsidising the rich at the cost of the common man and not many will use these parking lots anyway,'' he said.
Standing committee chairman Ravindra Waikar, however, said, "Once passed, the contract cannot be scrapped. The contractor will drag us to court. Besides, when deciding to go ahead with building the parking lots, the administration had stated that no one was willing to construct them,'' he said. The contract has been awarded to M/s Venue Infrastructure.
A senior BJP corporator, however, said the MMRDA had successfully adopted the PPP model for the Metro and the Maharashtra State Road Development Corporation (MSRDC) for the Bandra-Worli Sea Link. "The BMC is one of the biggest landholders in the city. It must capitalise on its asset and use the PPP model for infrastructure projects, especially in times of such financial crisis,'' he said.
To tide over the financial crisis due to the sudden increase in establishment cost (74% of the total budget in five years), the finance department has suggested to the standing committee to scrap the contract and go back to the public-private-partnership (PPP) model.
The BMC had planned to have two parking lots near Crawford Market (one near the police headquarters and the other near Manish Market) and two at Hutatma Chowk, one each near Eros, Regal Cinema and Jehangir Art Gallery. The overhead parking lots in these areas were to be dismantled once the new ones became functional. It would have created space for 1,440 cars at any given time as against the current 700 cars.
When the civic authority invited tenders for the underground parking lots, it had done so on the basis of the PPP model in which the contractor would do it on a design-build-operate-and-transfer (DBOT) basis. The contractor was also to be given 30% of the total space for commercial exploitation. This was in keeping with the recommendations of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM).
The BMC received six bids. Just before the opening of the bids, it declared that due to security reasons, it will construct the parking lots on its own. Also, 30% space would be used to accommodate additional cars.
Transport expert Ashok Datar, who was asked to vet the technology to be used for the underground parking lots, told TOI that the contract must be scrapped. "The technology is good but the scheme is anti-environment,'' he said.
Datar explained that the BMC would spend Rs 30 lakh per car space, excluding the land cost, which is at a premium across Mumbai. The parking lots would facilitate the entry of more vehicles into South Mumbai at a time when the government should be discouraging people from using private vehicles. "It is anti-environment as it will increase traffic jams. It is subsidising the rich at the cost of the common man and not many will use these parking lots anyway,'' he said.
Standing committee chairman Ravindra Waikar, however, said, "Once passed, the contract cannot be scrapped. The contractor will drag us to court. Besides, when deciding to go ahead with building the parking lots, the administration had stated that no one was willing to construct them,'' he said. The contract has been awarded to M/s Venue Infrastructure.
A senior BJP corporator, however, said the MMRDA had successfully adopted the PPP model for the Metro and the Maharashtra State Road Development Corporation (MSRDC) for the Bandra-Worli Sea Link. "The BMC is one of the biggest landholders in the city. It must capitalise on its asset and use the PPP model for infrastructure projects, especially in times of such financial crisis,'' he said.
