KLIS: Re-engineering Quadrupled Project Cost, Says CAG
Deccan ChronicleHyderabad: The much-touted re-engineering of the Pranahita-Chevella project into Pranahita and Kaleshwaram by former chief minister K. Chandrashekar Rao might help increasing the command area by 50 per cent, but the project cost shot up by 400 per cent, from Rs 38,000 crore to Rs 1.5 lakh crore, as per currently available information and this amount will further go up to complete the pending works. Similarly, the interest burden was pegged at Rs 8,191 crore per annum, which is 10 per cent of the project cost of Rs 81,000 crore, but with the cost escalating to Rs 1.50 lakh crore, the interest burden will jump to Rs 15,000 crore, the CAG stated. The old scheme would have catered to 16.4 lakh acres and the new one 24.96 lakh acres, but the project cost increased by more than Rs 1.2 lakh crore, it stated. The CAG also referred to a CWC report of March 2015, in which it was clearly stated that 192 TMC ft or more was available for 65 per cent years in the old scheme and going ahead with it would have saved capital cost of Rs 1.2 lakh crore and recurring cost of Rs 2,000 crore every year.
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