Andhra Pradesh government decides to shear off Rs1,000-crore work from polavaram Transstroy

Though Gadkari suggested that the state government continue with the contractor, the Cabinet has decided to take away the works.

Published: 02nd November 2017 10:14 AM  |   Last Updated: 02nd November 2017 10:18 AM   |  A+A-

By Express News Service

VIJAYAWADA: As expected, the Cabinet, which met under the chairmanship of Chief Minister N Chandrababu Naidu at the Interim Government Complex in Velagapudi on Wednesday, decided to take away some works under the Polavaram Project from Transstroy, the main contractor of the venture.The state government recently requested Union Water Resources Minister Nitin Gadkari to allow it to replace Transstroy on the grounds that the contractor was not performing efficiently.

Though Gadkari suggested that the state government continue with the contractor, the Cabinet has decided to take away works worth Rs 1,000 crore from Transstroy hoping to fast track the project. The move will be a burden on the exchequer.Works pertaining to a portion of the spillway and the spill channel will be removed from Transstroy and given to another agency after tenders are called at the present prices.
Officials of the Water Resources Department calculated that the move will cost around `300 crore. The Cabinet has decided to take the same to the notice of the Centre seeking reimbursement. In case the Centre is not willing to make the payment, the state government will bear the additional expenditure.

The government took the decision of slashing some works from the main contractor to facilitate direct payments to sub-agencies.As requested by Transstroy, the government has also decided to appoint an arbitration tribunal for adjudicating the claims of the main contracting agency.

The Chief Minister, who reviews the Polavaram Project once a week and personally inspects the works at the site every month, will henceforth relay the progress made to the Centre at regular intervals.
Claiming that 50.48 per cent of the works has been completed, Water Resources Minister Devineni Umamaheswara Rao said the government had, so far, spent `12,465 crore on the project and was yet to get Rs 3,000.50 crore from the Centre.

Honour for ace shuttler Kidambi
Pleased with shuttler Kidambi Srikanth’s victory in the French Open Super Series, the state Cabinet unanimously decided to felicitate him. Srikanth will get J2 crore,  deputy collector’s job and 1,000 square yards in Amaravati. His coach Pullela Gopicanhd will get J15 lakh; intermediate, elite-level coach Sudhakar Reddy, J11.25 lakh; and grassroot level coach K Srikanth, J3.75 lakh 

Expenditure till date
L5,135.87 crore  Expenditure before declaring Polavaram as national project   
L7,329.56 crore  Expenditure after declaring as national project
Total expenditure till September, 2017  L12,465.43 crore
Total funds released to AP through Polavaram Project Authority L4,329.06 crore
Balance reimbursement yet to be made by Centre L3,000.50 crore

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