Mumbai: A faulty design was the ostensible reason for the cost of the Nerdhamana irrigation project in Akola district to skyrocket from an initial estimate of Rs 181 crore to Rs 638 crore.
State governor K Sankaranarayanan visited the project site on the Purna river earlier this month to supervise work. Experts said it is one of the most expensive irrigation projects in the country—Rs 9.18 lakh to irrigate one hectare of land as against the national average of Rs 1.70 lakh. Following the irrigation scam, TOI has learned that irrigation department officials have now proposed to reduce the project cost by 30%. Irrigation experts said this is a fit case for investigation by the state government-appointed special investigation team.
The water resources department justified the huge cost on the grounds that the project was innovative as it is being taken up in “soft black cotton soil’’. It also stated that the area was severely drought hit and in the suicide belt of Vidarbha region.
MONEY DOWN THE DRAIN?
Major Cost Escalations In State Projects
1 Gosikhurd (Bhandara dist): From Rs 372cr in 1982 to Rs 7,777cr today and expected to shoot up to Rs 13,000cr
2 Balganga (Raigad dist): From Rs 353cr in 2009 to Rs 1,220cr in 2010. Govt appointed panel recommends price should now be fixed at Rs 900cr
3 Kondhane (Karjat taluka): From Rs 56cr in July 2011 to Rs 328cr a month later. Contract was scrapped after TOI expose
4 Wardha diversion (Amravati): From Rs 120cr six years ago to Rs 433cr last year
5 Lower Penganga (Yavatmal dist): From Rs 1,402cr to Rs 9,027cr three years ago.
Contract cancelled following uproar in state assembly VIDC’s hasty tender process under lens
Mumbai: The cost of the Nerdhamana irrigation project in Akola has soared by over 250%.
The need for change of design was taken up after awarding of the project to the contractor.
The project is carried out under the supervision of the Vidarbha Irrigation Development Corporation (VIDC), an arm of the state water resources department, and is funded jointly by the Centre under the accelerated irrigation benefit project (AIBP).
The project received its first administrative approval (AA) on October 24, 2008 for an amount of Rs 181.99 crore. The tender process was initiated instantly and the work order was issued on March 2, 2009 for Rs 189.41 crore. In fact, a mobilization advance of 10% of estimated cost of project was also disbursed to the contractor. Work commenced and the scheduled date of completion was March 2012.
However, VIDC soon sought permission for a revised administrative approval (RAA), which substantially increased the cost to Rs 638.34 crore. The apparent reason given by the department was change in design of the barrage and its structures due to poor strata encountered at certain depths.
The need for change of design was taken up after awarding of the project to the contractor.
The advisory committee on irrigation, flood control and multipurpose projects in its 112th meeting held on September 14, 2011, and subsequent meetings, apprehended the unusual increase in the project cost. The revised estimate was given technical clearance by the central water commission in Delhi. However,the Centre has kept the funding pending following complaints from two MPs from Vidarbha regarding the astronomical increase in cost due to faulty design.
Questions are now being raised as to how VIDC initiated tender process hurriedly before finalizing the technicalities of the entire project. “The tender process was initiated based on tentative designs. VIDC should have waited till the final design was submitted since this was the first such project to be undertaken in different soil conditions,’’ said sources, who have tracked this project.
Correspondence between chief engineer, Special Projects, Amravati, to Barrage & Canal Design (N.W & N.W.S), shows that only the tentative design was prepared and final design was kept pending due to peculiar soil conditions.
“This proves that the state water resources department hurriedly initiated tender process without any technical sanction. Project work commenced in March, 2009, based on tentative designs,’’ said sources.
Subsequently, the design wing of the central water commission sent a revised design around December 2009. “Since the revised design involved major cost variation from Rs 181.41 crore to 638.34 crore, it required a revised administrative approval. The state government should have waited for the actual design of the barrage and subsequently initiated tender process for the same. This would have saved hundreds of crores of rupees,’’ they added.
Courtesy:
Nauzer K Bharucha TNN
http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIM/2012/12/24&PageLabel=1&EntityId=Ar00102&ViewMode=HTML
State governor K Sankaranarayanan visited the project site on the Purna river earlier this month to supervise work. Experts said it is one of the most expensive irrigation projects in the country—Rs 9.18 lakh to irrigate one hectare of land as against the national average of Rs 1.70 lakh. Following the irrigation scam, TOI has learned that irrigation department officials have now proposed to reduce the project cost by 30%. Irrigation experts said this is a fit case for investigation by the state government-appointed special investigation team.
The water resources department justified the huge cost on the grounds that the project was innovative as it is being taken up in “soft black cotton soil’’. It also stated that the area was severely drought hit and in the suicide belt of Vidarbha region.
MONEY DOWN THE DRAIN?
Major Cost Escalations In State Projects
1 Gosikhurd (Bhandara dist): From Rs 372cr in 1982 to Rs 7,777cr today and expected to shoot up to Rs 13,000cr
2 Balganga (Raigad dist): From Rs 353cr in 2009 to Rs 1,220cr in 2010. Govt appointed panel recommends price should now be fixed at Rs 900cr
3 Kondhane (Karjat taluka): From Rs 56cr in July 2011 to Rs 328cr a month later. Contract was scrapped after TOI expose
4 Wardha diversion (Amravati): From Rs 120cr six years ago to Rs 433cr last year
5 Lower Penganga (Yavatmal dist): From Rs 1,402cr to Rs 9,027cr three years ago.
Contract cancelled following uproar in state assembly VIDC’s hasty tender process under lens
Mumbai: The cost of the Nerdhamana irrigation project in Akola has soared by over 250%.
The need for change of design was taken up after awarding of the project to the contractor.
The project is carried out under the supervision of the Vidarbha Irrigation Development Corporation (VIDC), an arm of the state water resources department, and is funded jointly by the Centre under the accelerated irrigation benefit project (AIBP).
The project received its first administrative approval (AA) on October 24, 2008 for an amount of Rs 181.99 crore. The tender process was initiated instantly and the work order was issued on March 2, 2009 for Rs 189.41 crore. In fact, a mobilization advance of 10% of estimated cost of project was also disbursed to the contractor. Work commenced and the scheduled date of completion was March 2012.
However, VIDC soon sought permission for a revised administrative approval (RAA), which substantially increased the cost to Rs 638.34 crore. The apparent reason given by the department was change in design of the barrage and its structures due to poor strata encountered at certain depths.
The need for change of design was taken up after awarding of the project to the contractor.
The advisory committee on irrigation, flood control and multipurpose projects in its 112th meeting held on September 14, 2011, and subsequent meetings, apprehended the unusual increase in the project cost. The revised estimate was given technical clearance by the central water commission in Delhi. However,the Centre has kept the funding pending following complaints from two MPs from Vidarbha regarding the astronomical increase in cost due to faulty design.
Questions are now being raised as to how VIDC initiated tender process hurriedly before finalizing the technicalities of the entire project. “The tender process was initiated based on tentative designs. VIDC should have waited till the final design was submitted since this was the first such project to be undertaken in different soil conditions,’’ said sources, who have tracked this project.
Correspondence between chief engineer, Special Projects, Amravati, to Barrage & Canal Design (N.W & N.W.S), shows that only the tentative design was prepared and final design was kept pending due to peculiar soil conditions.
“This proves that the state water resources department hurriedly initiated tender process without any technical sanction. Project work commenced in March, 2009, based on tentative designs,’’ said sources.
Subsequently, the design wing of the central water commission sent a revised design around December 2009. “Since the revised design involved major cost variation from Rs 181.41 crore to 638.34 crore, it required a revised administrative approval. The state government should have waited for the actual design of the barrage and subsequently initiated tender process for the same. This would have saved hundreds of crores of rupees,’’ they added.
Courtesy:
Nauzer K Bharucha TNN
http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIM/2012/12/24&PageLabel=1&EntityId=Ar00102&ViewMode=HTML
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