Thiruvananthapuram: The Kerala Government Contractors Association (KGCA) has called off its indefinite strike after chief minister Oommen Chandy announced that the government would withdraw the purchase tax being levied along with the compound tax. Work on the pending road works in the State, which had been affected due to the stir, would now be completed on a war footing.
The KGCA’s strike since April 2 had ground public works to a halt since the last week of July. PWD minister V.K. Ebrahimkunju had incurred citizens’ wrath, who were facing untold hardship, using pothole-ridden roads. With the rain playing havoc and the contractors on strike, the department came to a standstill with no scope for any maintenance work to be initiated.
“Since the finance bill is being passed soon, we have decided to take away the purchase tax which we felt would be a double blow to the contractors. The government will give Rs 400 crore towards the pending contract amount to the KGCA before the Onam season,” the Chief Minister said.
Association President Varghese Kannampally told DC that due to the strike of quarry and crusher units, which was called off last Wednesday, there had been a delay in completing various works in the government sector which would get two more months’ time for completion.
“Due to the incessant rains, especially in the Malabar region, the PWD and NH roads were severely affected. We have decided to resume the maintenance work with immediate effect,” said Mr. Kannampally.
The Government had sanctioned Rs 200 crore to the contractors last week towards the outstanding dues for the month of October 2013.
