Hyderabad: Civic body is left only with Rs 15 crore for roads
Officers on Lok Sabha polls duty find it tough to raise funds.
Hyderabad: The state government’s flagship Strategic Road Development Plan (SRDP) could grind to a halt as the corporation is running out of money.
The GHMC is left with just Rs 15 crore to execute the mega projects whose total value is placed at Rs 2,631 crore. The corporation is not sure if it should issue bonds or seek the help of the state government for money.
An official said the corporation had utilised Rs 380 crore which was raised through municipal bonds, with the government standing security, to build skyways, grade separators and rotaries.
Officials said the fund crunch came as a major blow since work on various facets of the project was running at a brisk pace.
Under the SRDP, the corporation has to construct seven skyways, develop 11 major and 68 minor corridors and 54 grade separators at an estimated cost of Rs 2,631 crore. Barring the KBR junction, the corporation has started work at several junctions and completed the tender process for other components.
Besides, the code of conduct for back-to-back elections is complicating matters. The code is already in place for the Legislative Council elections. By the time the MLC eletions are completed, the code will be in place for the general elections which will last till mid-May.
Sources said that the corporation had only cleared bills of about Rs 380 crore for work worth Rs 855 crore. The SRDP work at Mindspace Junction and Durgam Cheruvu are going on briskly and require at least another Rs 400 crore. Besides this, 22 of 52 SRDP works under progress in other parts.
When asked about the finances, a senior GHMC official said the civic body has raised Rs 395 crore from the bond market and utilised Rs 380 crore. Because of the corporation’s financial condition, it cannot spend from its account and is explore the option of raising funds through another issue of bonds.
The officer said that given their busy schedule in the backdrop of elections, even raising funds through bonds would be a tough task and the work may be held up for a brief period.