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Fund crunch hits water projects
The fate of nearly 30 major irrigation projects under progress in different stages across Andhra Pradesh hangs in balance in view of precarious financial situation of the state government. According to information, a section of contractors entrusted with the project works, reportedly threatened to stall the works seeking clearance of pending bills.
Contractors to stall works if pending bills not cleared
Amaravati: The fate of nearly 30 major irrigation projects under progress in different stages across Andhra Pradesh hangs in balance in view of precarious financial situation of the state government. According to information, a section of contractors entrusted with the project works, reportedly threatened to stall the works seeking clearance of pending bills.
Interestingly, the government has released a schedule for inauguration of some of these projects in the next 3 to 4 months. The representatives of contracting agencies are reportedly planning to meet Chief Minister N Chandrababu Naidu with a request to come to their aid.
The government’s flagship projects which are hit by the financial crunch included Handri Neeva Srujala Sravanti (HNSS) project, Galeru Nagari Srujala Sravanti (GNSS), Veligonda, Chintalapudi, Purushothapatnam, Vamsadhara project and Thotapalli Barrage projects are among them. “We forwarded the bills to the Finance department seeking release of funds. But the bills were not passed,” said a senior official from the Irrigation department.
Sources said the Finance department reportedly returned bills to the Irrigation department allegedly for want of funds. Besides, ambiguity reining in over tax rates under the new GST (Goods Services Tax) regime is said to be another major hurdle in clearance of bills.The Irrigation department is obligated to clear around 28 invoices pertaining to different irrigation projects by August 5.
There are no signs of their clearance even more than three weeks after the deadline. The department received instructions from the government to give preference to payment of salaries, it is said.
According to information, a contractor claimed bills for Rs 46 crore for the works executed from April pertaining to Handi Neeva project. In all, he completed works worth Rs 130 crore till now. He was said to have not received even a single rupee from the government yet, it is said.Meanwhile, The Hans India could not reach Ravi Chandra, Secretary, Finance Department, over phone or through an SMS for a clarification.
By K Varaprasada Rao
