The State Government has almost completed the survey work of the project. But land acquisition can be started only after the project gets clearance from the Union Cabinet. An office of the Delhi Metro Rail Corporation (DMRC) has already been opened in Kochi. “We have given a proposal for the preparatory work to the State Government. But we are yet to get a reply,’’ said a top official with the DMRC. The work in the proposal includes widening of Banerji Road, rebuilding of North Railway Overbridge (ROB) and construction of a new ROB near the KSRTC stand. “If funds are allotted the Rs 150-crore preparatory work can be started immediately,’’ he said.

Fillip to mobility hub

The State Government has earmarked Rs 5 crore for Vyttila mobility hub. Funds for the Rs 300-crore project will be collected from the JNNURM scheme and the GCDA. The amount allotted in the budget can be used for the initial work. “The fund can be used for land development and acquisition of land for entry and exit roads,’’ said a project official. KITCO is preparing a detailed project report of the mobility hub. As the JNNURM scheme doesn’t have the provision to spend its funds on land acquisition, the amount will have to be raised from other agencies. The steering committee of JNNURM headed by the Chief Minister has decided to approve the proposal which has been forwarded to the Central Screening and Monitoring Committee which is to give the final nod. If included in the scheme, most of the components of the project will get a Central Government grant of up to 50 percent of its total cost. The State Government has constituted a Vyttila Mobility Hub Society headed by the District Collector. The meeting of the Society had devised plans to mobilise Rs 40 crore from GIDA and GCDA so that work can start even before the funds from the JNNURM are allotted.

IT’s looking bright

The state budget 2010-11 has put special emphasis on the IT sector in Kerala. Development of IT parks, Infopark in Kakkanad and Smart City project have found a place in the budget.

There’s an increase of 77 percent in the allocation for the Information Technology department compared to last year. A total of Rs 153 cr has been earmarked for IT and IT-related projects in the state compared to Rs 86 cr in the previous budget.

The Finance Minister said that Rs 70 cr has been set apart for the development of IT parks in Kochi and Thiruvananthapuram, Infopark in Kochi and Cyber Parks in Kozhikode, Kannur and Kasargod.

An amount of Rs 22 crore has been allocated for the development of State Data Centre and Network Operation Centres in Kochi, Thiruvananthapuram and Kozhikode.

The project work related to Athulya IT complex at Infopark with an area of 5.5 lakh sq ft will be completed in 2010-11 itself, the minister said.

Reiterating the government’s commitment to the Smart City project once again, the Minister said “The project is indefinitely getting delayed due to the demands raised by TECOM that were not in the original agreement.” The Finance Minister said that Infopark would initiate a project which can generate one lakh employment opportunities.

“An amount of Rs 50 crore is earmarked for the initial expenses. A suitable business model will be formulated in the line of CIAL or VISL for the second phase,” he said.

Cheers for realtors

The budget seems to have given a boost to the real estate sector which has been slowly recovering from the impact of economic recession.

The decision to introduce separate tax slabs for stamp duty on land and apartments is the most applauded one among the real estate circle. The proposal to cut down the stamp duty of land is also a positive development.

“It has been a long standing demand of builders that a separate stamp duty should be introduced for apartments. This is a welcome move,’’ said Najeed Zachariah, president, Confederation of Real Estate Developers Associations of India (CREDAI).

The stamp duty which had been 10, 12.5 and 13. 5 percent in panchayats, municipalities and corporations respectively has come down to 9, 10 and 11. The stamp duty for apartments has been fixed at five percent plus two percent registration fee. Until now builders had to pay stamp duty for apartments on a par with the stamp duty on land.

“Now a person who buys a Rs 20-lakh flat will get a relief of about Rs 1.7 lakh,’’ Najeeb said. The decision to set apart funds for sand mining from dams on a large-scale will be a relief for builders suffering from acute shortage of river sand.

Sea of neglect

Even five years after designing the project the development of Seaport-Airport Road is at a standstill. There is nothing in the state budget but a statement that the project would be completed.

No fund has been allocated for it. Kerala Roads and Bridges Development Corporation (RBDCK), the agency for constructing the road, had requested funds from the State Government to complete the work. But the government has not disbursed the funds.

Only the first phase that covers the stretch from Karingachira to HMT Junction is complete. The work of HMT Junction to Nedumbassery airport has been included in the second phase. But the work is yet to start due to the delay in land acquisition.

The third and fourth phases comprise Airportoutskirts of Angamaly and Karingachira-Kundanoor respectively.

The first phase which started in 2001-02 was completed by the end of 2003. The alignment of the second and third phases was published in 2005. A total of 85.79 hectres of land will have to be acquired for the project.

Rs 218 crore is needed for land acquisition while the construction cost will be about Rs 283 crore.

If the project is completed vehicles coming from Alappuzha can go to Thrissur without touching Ernakulam, Kalamassery, Aluva and Angamaly.