Hyderabad: The Greater Hyderabad Municipal Corporation (GHMC) is sceptical about taking up works under the Strategic Road Development Plan (SRDP) phase-2 in view of its financial crunch and the state government’s apathy to bankroll its civic projects.
According to GHMC officials, the corporation would require Rs 3,515 crore for constructing skyway and underpass projects in the city.
As the corporation’s financial situation is not sound, the officials have written to the state government about its precarious situation a month ago and are awaiting a reply.
Under the SRDP phase 2, the corporation had planned to take up the road-widening works of the Bengaluru Highway to Shastripuram Junction with an estimated cost of Rs 150 crore, road widening works from Shastripuram junction to Engine Bowli at Rs 250 crore, Uppal junction flyover at Rs 450 crore, the level one road no 45 flyover at Jubilee Checkpost at Rs 100 crore, multilevel flyovers and underpasses at Rethibowli and Nanal Nagar junction, the construction of a bridge across Surplus Nala at Fox Sagar lake at Rs 45 crore, Khajaguda tunnel at Rs 1,080 crore, Kukatpally Y junction works at Rs 135 crore, flyover construction at Bandlaguda junction at Rs 70 crore, flyover at Omer Hotel junction Rs 70 crore, Falaknuma-Badvel road overbridge (RoB) at Rs 150 crore, rail-under-bridge (RuB) at Manikeshwar Nagar Rs 20 crore, RuB at Chilukanagar at Rs 30 crore and 2 RuBs at Aramghar at Rs 290 crore.
In the last eight years, the corporation has spent Rs 2,500 crore on SRDP. It raised Rs 3,460 crore loan from SBI, Rs 495 crore through municipal bonds and Rs 140 crore from Housing and Urban Development Corporation Limited (HUDCO) to fund these works.
Though the memorandum of understanding entailed GHMC funding 40 per cent of the project cost, the civic body has fallen short of the target.
Citing this, financial institutes threatened to walk out of the project unless the corporation releases its share of the project cost, which works out to be Rs 3,000 crore.
A senior GHMC official told Deccan Chronicle that the corporation has notified the state government about its financial constraints and the demands made by the financial institutions.
“The government is yet to respond to the proposals. However, without the government's financial help, the civic body cannot take up the project. Any official announcement about SRDP phase 2 will be done by the government and GHMC will only act as an executive agency,” the official said.
