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350-bed Warje hospital project remains non-starter

In spite of objections, the local administration and the then-elected members went ahead with the hospital plan two years ago

Updated on: Jul 20, 2023, 22:33:32 IST
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Despite the Pune Municipal Corporation’s (PMC) approval to set up a 350-bed hospital at Warje on build operate transfer basis (BOT), work has not begun yet. In spite of objections, the local administration and the then-elected members went ahead with the hospital plan two years ago.

The construction and running cost of the hospital is expected to be  ₹360 crore. (REPRESENTATIVE PHOTO)
The construction and running cost of the hospital is expected to be ₹360 crore. (REPRESENTATIVE PHOTO)

The construction and running cost of the hospital is expected to be 360 crore.

Though the PMC is executing the project on a BOT basis, it is also accepting loan guarantees for it.

Vikram Kumar, municipal commissioner, said, “Due to technical and other issues, the project did not materialise, but soon work will start on the ground.”

The project was discussed at least three years ago and the then-standing committee chairman Hemant Rasne had also announced it in the annual budget and Kumar had supported the project.

While some elected members and mainly former deputy mayor Siddharth Dhende objected to the project. Dhende had questioned the purpose of PMC taking the contractor’s loan guarantee. However, the administration was of the view if PMC took out the loan, it would do so at the lowest possible interest.

In February 2022, the standing committee of PMC had given an official nod for the project.

The proposed hospital will have 350 beds and 10 per cent of beds will be available free of cost. Six per cent of beds will be at the cost suggested by PMC and the remaining 84 per cent beds will be managed by the operator.

Also, PMC will receive 90 lakh rent per annum and every year the rent amount will be increased by three per cent.