Rs 400 crore fund crunch has Pune smart city buffering for aid
While Rs 200 crore is to be given to the Pune smart city development corporation limited, annually, government establishments have failed to release funds for the past two yearsUpdated: Aug 17, 2018 15:32 IST
Hindustan Times, Pune
The smart city mission has been one of the priorities of the Bharatiya Janata Party-led National Democratic Alliance (NDA) government at the Centre and the state. However, the union and state governments, besides the Pune municipal corporation (PMC), have failed to give funds to the Pune smart city development corporation limited (PSCDCL), as a result of which the pace at which some of the projects are being implemented has slowed down.
PSCDCL is a special purpose vehicle (SPV) formed under the smart city mission to implement the smart city projects in Pune. While a total of Rs 200 crore has to be given to the Pune smart city development corporation limited annually, the government establishments have failed to release funds to PSCDCL since the past two years.
This fund crunch, faced by PSCDCL, has resulted in a slowdown of developmental works of various projects which the smart city development corporation has on its cards. Recently at a conference on smart cities organised by the confederation of Indian industry (CII) hailed initiatives and projects launched by PSCDCL, but the expert panellists were of the view that the speed of the schemes must be expedited.
Rajendra Jagtap, chief executive officer and director, PSCDCL, said, “We have already written to the central government requesting them to release the funds at the earliest, so that the works that are proposed in the future can be expedited.”
According to Jagtap, the funds have to be first released by the central government and only then, will the state government and PMC release their respective funds.
Jagtap said, “Only after the central government releases its annual due of Rs 100 crore, the state government and the civic body will release its Rs 50 crore each. We expect the funds to come in by March-end next year.”
A senior official of PSCDCL, requesting anonymity as he was not authorised to speak to the media, said, “The PSCDCL is yet to receive a total of over Rs 400 crore from the respective governments pertaining to the dues of the last two consecutive years.Owing to this delay, various projects such as the smart grid project, riverfront development programme of the river called Ramnadi in Baner and smart spaces project, are getting delayed.”
If the funds were given from the respective governing bodies, the work for these ambitious projects would have been done on a war footing, the official added.
First Published: Aug 17, 2018 15:27 IST