Tuesday, July 14, 2009

Maytas effect: More idle projects face axe

After rejecting Maytas Infra from the Metro Rail project, the state government has decided to crack the whip on other companies which have been delaying major infrastructure projects.

The much-hyped 100-storied tower by Anil Ambani’s Reliance group, the Special Economic Zone and oil refinery at Kakinada, which is jointly promoted by the GMR and Kakinada Sea Ports Limited, Machilipatnam port and IT SEZs on the city outskirts are under scanner.

Work on irrigation projects such as Pulichintala and Polavaram besides the Outer Ring Road have also been going on at snail’s pace, thanks to the indifferent attitude of contractors.

“It is high time the government sends out a clear message to them to execute the projects or face the axe,” said a senior official.
Sources said the KSEZ promoters have raised new demands, including a captive port and a promise that no other refinery shall be allowed in the coast. They are ascribing the delay to problems in land acquisition though the state has already alloted 5,000 acres.

Reliance group has also been inactive on the tower project taken up in October 2007 though it should be completed in four years.
Similarly, Raheja, Indu and Bramhani groups were alloted 250 acres each to build IT SEZs, but there is little progress. The government could cancel the projects on grounds of delay.

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