UGD works pending in Ch'nagar, as contract term ends

The contract issued to a private company, to lay the underground drainage (UGD) system in the city, ends on October 31. But, not even 50 per cent of the works have been completed and the company is seeking an extension for one more year.

A meeting in this regard has been recently held at Bangalore and its outcome is yet to be announced. The meeting, chaired by District in-charge Minister H S Mahadev Prasad, was attended by officials from the company, Karnataka Urban Infrastructure Development Finance Corporation (KUIDFC) and City Municipal Council (CMC).

The CMC officials are not sure that the company, Ahmadabad-based GSG Aravind, would complete the works even if it is given an extension of the contract.
However, it is also unlikely that another contractor would take up the half-done works. Another problem would be if the company files a litigation against the CMC, works would be further delayed.

So, it is learnt that the minister is likely to approve extension of the contract by a maximum of two months to observe the progress of the works executed by the company. If the works still lag behind, further extension is unlikely. The officials are tight-lipped about the issue. They said, the duration of the extension will be clear only when the managing director of the KUIDFC takes a decision.

Project cost

The project, under the KUIDFC, estimated to cost Rs 26.76 crore, with financial assistance from the Asian Development Bank, was launched on January 23, 2012, with an objective to reduce the imbalance in development in the region.

The project had envisaged construction of 3,600 manholes, but only 2,400 have been built. Only a stretch of 50 km pipeline has been laid, against the plan for 105 km pipeline.

Only 70 per cent of the construction work has been completed of the 12 million litres per day capacity water treatment plant. The company has cited presence of boulders in places where the works are being executed, and scarcity of sand for the delay.

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