MC to mortgage property to raise Rs 200 crore for JNNURM projects

Rs 48 crore project for water supply and sanitation is yet another plan,which was cleared a few days ago only,but both the projects cannot take off unless MC and the state government chip in with their 30% and 20% of the project cost,respectively. The MC’s inability to contribute bear its share for JNNURM projects,for which the Centre is giving a major grant,speaks volumes about the poor financial health the MC is in.

This decision was taken today in the Finance and Contract Committee meeting of MC. Earlier,the loan proposed was Rs 100 crore to which the councillors had raised objections,following which the loan proposal was hiked to Rs 200 crores.

MC plans to repay the loan 15-year time period by generating income from its own resources.

Senior deputy mayor Parveen Bansal,who was earlier was reluctant to the idea of raising loan for JNNURM projects,said,“We have yet to identify the properties in the city. It will be the optimum utlilisation of our properties,because at the moment they are lying unused in various parts of the city.”

Apart from this,the committee members also cleared all street-light projects for the city. Meanwhile the tenders for sterlisation of dogs have also been recalled,because no response came earlier. Various projects pertaining to the operation and the maintenance cell have also been cleared for the city.