Govt set to clip DIMTS’ wings | delhi | Hindustan Times
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Govt set to clip DIMTS’ wings

It was created to help the Delhi government solve transport problems. But all it gave was huge bills against consultancy charges.

delhi Updated: Apr 27, 2010 00:50 IST
Atul Mathur

It was created to help the Delhi government solve transport problems. But all it gave was huge bills against consultancy charges.

Not satisfied with the performance of the Delhi Integrated Multi-Modal Transit System (DIMTS), the Delhi government is planning to clip its wings.

The government is setting up a new special purpose vehicle to execute transport related projects mostly done by DIMTS these days.

To start with, the new SPV, being formed under the Companies Act of 1956, will be given the responsibility to redevelop and operate four interstate bus terminals of Delhi.

Highly-placed sources confirm the SPV would later be given additional responsibilities like developing bus depots, bus Q shelters and other infrastructure development projects, especially for the transport department.

The transport department currently depends on DIMTS to execute all such projects.

Several other transport projects like construction and operation of BRT, procurement of low-floor buses, corporatisation of private bus clusters, installation of global positioning system in buses, automatic fare collection system and construction of bus depots are also being implemented by DIMTS.

While the first phase of BRT received flak from all quarters, most projects including installation of GPS and automatic fare collection system, have missed several deadlines.

“The CAG had also questioned the government for allotting work to the company without following proper tendering process and also paying undue service fees,” a senior Delhi government official said.

“It usually hires private agencies. The government paid it outrageous consultancy fees, ranging from one per cent to nearly 50 per cent of project costs,” the official added.

The new SPV, said sources, would be owned fully by the state government.

Officials added that they plan to transfer some of projects that DIMTS does to this new company.