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Jamir urged to order CAG probe into JICA project

Updated: June 21st, 2015, 19:03 IST
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Cuttack, June 21: Oriya Yuva Manch, a voluntary organisation, has urged Governor SC Jamir to order a comprehensive audit by the Comptroller and Auditor General (CAG) of India into the funding and implementation of sewerage and drainage projects in the city with financial aid from Japan International Cooperation Agency (JICA).
Rohan Mahanty, president of Oriya Yuva Manch, has written to the Governor recently in this regard. Mahanty pointed out that the state government has raised a debt of Rs 1,950 crore on 0.75 rate of interest from JICA to execute the project. The state government has agreed to repay the amount within 40 years.
“Each resident of the city will have to pay somewhere in between Rs 200 and Rs 800 over 40 years for repayment of the debt. However, the state government has not revealed all these facts about the project,” Mahanty said. He claimed the Manch got the information from an RTI query.
Sources said the housing and urban development department has engaged Tamil Nadu-based L&T Company for the execution of the sewerage project in the city at an expenditure of Rs 639.64 crore. An agreement in this regard was inked January 30, 2013. The project was supposed to be completed within three years.
Similarly, another private company Tamil Nadu has been roped in by the state sewerage board to construct a sewage treatment plant and pumping centre for the release of rainwater from the city at an expenditure of Rs 321 crore. An agreement between the sewerage board and the company was signed July 4, 2013 and the project was scheduled to be completed within three years.
Moreover, the sewerage board has signed an agreement with a Kolkata-based company for the renovation and construction of the drainage system in the city at a budget of Rs 659 crore.
According to the Manch, the original budget estimate for the sewerage and drainage projects was around Rs 1,500 crore. But due to delay in the construction work, the project cost has escalated toRs 1,950 crore till date. At present, only 30 to 35 per cent work of the project has been completed.
According to sources, CMC will collect money from the residents after completion of the project. “The state government should give a clear picture to residents regarding the funding pattern of the project and the blueprint to repay the debt to JICA. Besides, there should be clarity on the amount of money to be collected from households,” Mahanty said.
Commenting on the issue, CMC commissioner Gyana Das said, “The administration will take up all issues related to the project at an appropriate time. Now, our priority is early completion of the construction work.”

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