STOCK MARKET BSE NSE

Government unable to fund phase-II of Vyttila hub

Published: 19th October 2013 10:11 AM  |   Last Updated: 19th October 2013 10:11 AM   |  A+A-

The state government on Friday made it explicitly clear that it cannot bear the burden of implementing the second phase of Vyttila Mobility Hub.

With this, the Vyttila Mobility Hub Society (VMHS) is left with very little option, but to consider the execution of the project through a public-private partnership mode.

The financial cost to implement the second phase project is estimated to be `433 crore.  As per plan, the VMHS was to receive `298-crore loan from a consortium of banks. A meeting held last month had considered the decision. The state government was also considering giving `101-crore for the execution of the project.

But making the state government’s stand clear at the executive committee meeting of the VMHS at Thiruvananthapuram on Friday, Chief Secretary E K Bharat Bhushan said the project was too costly for the government to bear, taking its current financial status into consideration.

The Chief Secretary added that the cost of the first phase of the project had only been `15 crore, whereas the finances required for the implementation of the second phase of the hub was `433 crore. The VMHS has also been asked to downsize the project. As per the earlier plans, 110 bus bays and a maintenance centre was to be constructed.

A mega-shopping complex, food court, parking space for private buses and over 1,000 cars and 1,500 bikes and multiplex was also considered. A terminal for private buses, a waiting room for passengers and a skywalk are all in the design for the building. Even though the VMHS had recently toyed with the idea of constructing the second phase of the project using JNNURM funding, it was later dropped.

The executive committee meeting, which was held on Friday, was to give approval for the pre-qualification tenders which had been floated for the project.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

edexworks
flipboard facebook twitter whatsapp