Tuesday, February 07, 2012

Hike in maintenance cost angers traders.

The Times of India:Tuesday, February 07, 2012.
GURGAON: The HSIIDC has introduced a threefold hike in the annual maintenance charges to be paid by the industrialists of IMT Manesar.This year the corporation is demanding around Rs16 per square metre for maintenance from every plot owner - quite a leap from last year's Rs 6.97 per square metre or from the 2010 rates which were merely Rs3 per sq mt.
This inflationary trend hasn't gone down well with the local industrial community, which is now demanding the expenditure detail from the HSIIDC. "We want to understand how they could suddenly hike the rates by such a margin," said an industrialist in IMT sector 3. HSIIDC charges maintenance for the basic upkeep of the area every year, and the plot owners are asked to pay up retroactively, at the beginning of the new year. Industrialists only get to know the new rates when they receive their annual maintenance bill. "They don't announce anything as such. There is no understanding previously, in terms of what the maintenance work they are going to do. We just get the bills and are asked to pay up," said another industrialist. Industry representatives have said that they will be meeting the HSIIDC head in Manesar on Tuesday.
"We have written to the HSIIDC twice now, asking for the details of expenditure, and we haven't got any response," said Manmohan Gaind of the Manesar Industrial Welfare Association. The local associations are also pushing for taking away the maintenance work from the corporation's ambit, for better clarity in terms of funds. "Under the Bhagidari system, the industrial association should get the responsibility to carry out all the maintenance work. We don't want the HSIIDC to be doing it," added Gaind. After Tuesday's meeting, the industry bodies might also take the RTI route to ensure that last year's spending has been legitimate.
The trouble, according to some, is HSIIDC's retroactive mode of spending, which creates all the confusion. Collecting funds beforehand, and spending on development and maintenance accordingly would have made more sense. According to HSIIDC's IMT Manesar DGM, Divya Kamal, the reason for this year's hike has to do with the extended road-work which was done throughout the industrial area .