BDA’s financial crunch hits infra project in city
Bangalore Development Authority has dropped plans to take up “golden quadrilateral” project under PPP model due to financial crunch. BDA has decided to put on halt the much waited 25 kilometres elevated road corridor project. The project was to be taken under Public-Private Partnership (PPP) model.
According to sources, the corridor would link Hebbal-BRV ground-Hennur-Central Silk Board-Lalbagh-Chickpet-Sirsi Circle. The BDA is also thinking to generate huge funds from the sale of sites and apartments they are constructing at Kempegowda layout.
According to sources, in the budget 2013-14, Chief Minister of Karnataka had announced the proposal to take up the project to ease the traffic conditions and congestion in Bangalore.
If the project is taken up under the PPP model, BDA will have to impose toll on these roads to recover the cost. As it is not a viable option to collect toll on roads within the city limits, the Development Authority decided to do away with the PPP model and look for funds from the Jawaharlal Nehru National Urban Renewal Mission (JnNURM) and the State Government.
According to sources, huge funds are required for the corridor which would link Hebbal-BRV ground-Hennur-Central Silk Board-Lalbagh-Chickpet-Sirsi Circle.The BDA is also thinking to generate huge funds from the sale of sites and apartments they are constructing at Kempegowda layout.
According to the report prepared by the Infrastructure Development department, under the PPP model it would cost around Rs 5,800 crores for the four corridors. Moreover the land value in the city are touching the sky and the estimates are likely to shoot up. It is estimated that the projects will require no less than Rs 300 crores for every kilometer of elevated stretch.
A France based company has shown willingness to work as an advisor for the project in the meeting between the BDA and the State Government, only if JnNURM funding is available.
If sources are to be believed then there may be changes in the alignments of the corridors. BDA is already preparing the detailed project reports (DPR) for the construction of two elevated road stretches from Hebbal to Mekhri Circle and from Mekhri Circle to Golf Course.
BDA Commissioner said that they are sorting out the funding issues. It is likely that the State Government is going to fund for the project. The commissioner also said that they had asked the State government to release a minimum of Rs 800 crore for the elevated corridors.
The BDA has to take permission from the Railways before taking up the construction work as the road cuts above a rail line. The two corridors will be eight kilometres long.
Related Infrastructure News:
Budget drives development of corridors in Bangalore
Bangalore-Mumbai corridor to come up soon
Bangalore Development Authority, Detailed project reports, Infrastructure Development department, Jawaharlal Nehru National Urban Renewal Mission, JNNURM, Public-private partnership, State government
