Mula-Mutha river project estimate cost reaches ₹1,511 crore due to delays

The Japan International Cooperation Agency (JICA) funded pollution abatement of Mula-Mutha river project estimate cost has reached ₹1,511 crore due to the delays

The Japan International Cooperation Agency (JICA) funded pollution abatement of Mula-Mutha river project estimate cost has reached ₹1,511 crore due to the delays.

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Now, the PMC will have to bear a minimum amount of ₹668.53 crore to complete the project in three years. It is the second major project in the country which has received a huge amount after Namami Gange to control river pollution.

The project was sanctioned by the Central government under the National River Conservation plan (NRCP) in 2015. In this plan, the Central government covered 31 rivers in 75 towns of 14 states. The amount sanctioned was ₹4,514.83 crore. Of that, the Central government sanctioned a maximum amount of ₹990.26 crore to Mula-Mutha river in January 2016. It is the second highest sanctioned amount for the project after Namami Gange ( ₹20,000 crore).

However, the project was delayed due to the inflated tender cost of the project of which neither the Central government nor the PMC is taking onus.

The PMC also requested permission to retender the project. After four years, the Central government gave a nod to call a fresh tender including Operating and Maintenance (O&M) of the project for 15 years.

Now, the PMC has tabled a proposal in the standing committee to give approval to an estimated amount of four packages and float the tender. The decision will be taken in next week’s committee meeting. There are a total of six packages and work of two packages has already started.

Jagdish Khanore, project head of JICA said, “In the earlier tender, we have not mentioned the O and M component. Now, we have included it in the project as per Central government directives. The period of O&M is 15 years, and it is ₹261 crore. There is an escalation in project costs due to the delay.”

“The actual project cost is ₹990.26 crore. The Central government will give 85 per cent of the actual project cost, which means ₹841.72 crore and the PMC will have to pay the remaining 15 per cent amount. We have estimated a cost of ₹1,511 crore. After floating the tenders, we will get the actual amount which the corporation will have to bear in three years of the period (period starts from issue of actual work order) to complete the project.”

Under the JICA project, the PMC will construct 11 new sewage treatment plants (STPs) in different parts of the city to reduce the pollution of Mula-Mutha.

The project will create an additional treatment capacity of 396 million litres per day (MLD) over the existing treatment capacity of 477 MLD, laying of 113.6 kms of sewer lines and renovation/rehabilitation of four existing intermediate pumping stations.