DMRC project in Gzb stuck for want of funds

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The Delhi Metro Rail Corporation (DMRC) extension project from Dilshad Garden to New Bus stand in Ghaziabad appears to have hit the roadblock. Ghaziabad Development Authority (GDA) is running short of funds. The GDA officials failed to receive funds from Union Government and other Government agencies for not sending the proposal on time.

GDA Chief Architect and Town Planner (CATP) Ishtiyaque Ahmad told The Pioneer that the Union Government returned the request to share its contribution in want of State Cabinet approval of  revised detailed project report (DPR), which is still lying in lucknow for the last over two months.

Inordinate delay in releasing funds to the Delhi Metro Rail Corporation (DMRC) by the GDA has resulted in cost escalation of the project. The cost which was pegged at `1770 has now spiralled to over `2200 crore. The Union Government cannot fund its share till the revised Detailed Project Report (DPR) is not submitted to them stated in the letter received from the Union Government, said the offical.

“We sent the DPR to the Union Government for their share of funds as per MoU with the DMRC. But delay in the procedure has led to cost escalation. The Union Government has asked for revised DPR approved by the State cabinet. The revised DPR was sent to Akhilesh Yadav Government but it has not been approved so the funds from Union Government are on hold” said Ahmad.

It may be recalled that the funding pattern of this project was approved by the State Cabinet, but contributing agencies like Municipal Corporation, UPSIDC, Avas Vikas dragged their feet in contributing. Even the State trade tax department did not respond to the letter of GDA for transferring its unused land  for Arthla metro station, which GDA wanted to acquire on market price. The GDA offered other options for their benefit but the department did not deem it fit even to reply.

“When the funding pattern and the MoU with the DMRC were approved by the State Cabinet how the other agencies or departments can drag their feet,” a GDA official said. The fund crunch has also resulted as the current GDA brass has bungled on many counts.

Former Chairman cum Vice Chairman Santosh Yadav made a fixed deposit (FD) of `14,00 crore for making payments to the DMRC to complete the payments. However the FD was utilised by GDA top brass for its flat scheme and other construction works in Koyal Enclave which GDA planned to sale. The project has not bound any takers and GDA's coffers are empty now, said the official.

Santosh Yadav during his tenure as GDA Vice Chairman had streamlined finances by exploring other methods and selling GDA properties without constructing them.

After the money earmarked for the DMRC project by the then GDA Vice Chairman, was diverted, the agency was left with no money for its most ambitious project. Despite more than 60 per cent work being completed, it has hit a dead end. GDA needs to fund the cost of new trains and the construction of stations.

The project that was to be completed by December 2016 is running behind the schedule. This project would be completed by the next Government only. There is no chance of completing the project within this regime added the source.

“If that was not enough, Avas Vikas Parishad is also not paying its share of `400 crore after initial payment of `50 crore. It is another important reason of fund crunch. The GDA changed Avas Vikas land use from residential to commercial since they promised to pay after change of their land use. They promised that they will pay from the funds to be generated from the sale of their commercial properties. But they  remained non-committal on paying the share,” alleged GDA officer Ahamad.

“The Government is not interested to complete this project. No Government department could muster the courage to delay the payment when the project was operationalised. Diverting funds from the FD meant for DMRC payment to other construction is a serious issue. This was done to mint commission from local contractors since DMRC could not pay commission to corrupt GDA babus,” said Rajendra Tyagi the councillor of Ghaziabad Municipal Corporation.

Daily Pioneer
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