Sunday, January 31, 2016

Smart city tag may not end fund crisis

Times of India: Ludhiana: Sunday, 31 January 2016.
Where finances are concerned, the smart city tag may not be enough to provide basic amenities to city residents. Ludhiana will receive around Rs 1,000 from the Central and state government under the smart city project. But this may be insufficient, given the fact that two of the major projects, including canal based water supply to residents and storm sewer project cost around Rs 4,800 crore.
Under the canal based water supply project, the MC intends to provide 24/7 water supply to residents while under the storm sewer project, storm sewer will be installed in the city to avoid accumulation of water during the rainy season. Sources in the department said 10% area of the city does not have normal sewerage lines.
Implementation of projects and availability of funds is also a matter of concern. Several projects have crossed their deadline and are still moving at snail's pace. These include covering of ganda nullah, establishment of indoor stadium at Pakhowal Road and cleaning of buddah nullah, among others.
Both the state and Central governments have failed to do the needful in this respect. According to RTI information, the Centre and state did not release funds to clean the Buddah nullah over the last four years. But the issue also concerns other states and a parliamentary team visited the nullah in the past.
Besides, bottlenecks can be expected in the release of funds. Officials said the Centre will release funds in the coming financial year but for the next year, grant will only be released after the state government presents a utilization certificate and a matching grant of Rs 100 crore.
Additional commissioner of municipal corporation Ghanshyam Thori said the smart city project is an area-based concept and they would focus only on areas which have been selected under the area-based development (an element of the smart city project). Further he said the whole grant will be spent on selected areas only and nothing can be spent on other parts of the city.
Projects hanging fire
§      Ganda Nullah: Work started in 2004 but the entire structure was demolished due to a technical problem. The project, which was started again in 2009, missed the deadline of 2011. Even now, only around 50% to 55% has been completed. Sources said the project got stuck due to shortage of funds. The project cost increased from Rs 13 crore to Rs 22 crore
§      Indoor stadium at Pakhowal Road - The project started in 2004 but 11 years on, work has not been completed. Officials said there is no specific deadline as the plan changed in between and various other elements were included
§      Years have passed after the Central and state government claimed the nullah would be cleaned. But even after the visit of the parliamentary team and intervention of the National Green Tribunal, authorities failed to clean the nullah. According to an RTI information, both the state and central government have not released funds to clean the nullah over the past four years
§      After spending a hefty amount on preparing the Detailed Project Report (DPR) of the proposed Ludhiana Metro project, which was estimated to cost Rs 10,330 crore, SAD-BJP government rolled out the much cheaper Bus Rapid Transit System (BRTS) in February, 2014 at a cost of Rs 1,250 crore. But this project is also left on paper as officials of the local bodies department are still awaiting the Central government nod.