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8 years on, JKPCC fails to complete bridge over Chenab, wastes Rs 1.88 cr
4/4/2021 11:45:37 PM
Peerzada Ummer

Early Times Report

Jammu, Apr 4: More than Rs 1.88 crore were wasted with impunity by the Jammu and Kashmir Projects Construction Corporation Limited as it failed to restrict the work of construction of a bridge and allied works within the sanctioned cost.
According to the details available with Early Times despite directions that the project cost should not exceed Rs 21.82 crore, the JKPCC executed the work and incurred an expenditure of Rs 23.89 crore without compunction.
Documents in possession of this newspaper reveal that the Jammu and Kashmir State Cabinet Vide Order No: 245-PW (R&B) of 2005 dated 07 July 2005 approved the construction of a bridge over River Chenab at Meri Mendraiya to provide connectivity to the villages of Akhnoor Tehsil of District Jammu namely Bala, Balgarha, Barui, Chakhar, Gorde, Grattal, Karefal Lassu, Majoor Mandrian, Noor, Piyan, Rangani, Tacharwan, Tung and adjoining hamlets.
In terms of the cabinet decision, the Jammu and Kashmir Project Construction Corporation Limited (JKPCC) was to execute the work. The JKPCC submitted in November 2005 an initial cost offer of Rs 17.50 crore which was subsequently enhanced to Rs 22.84 crore in February 2007, due to change in the proposal from a steel arch bridge to concrete bridge. Subsequently, the Government of India (GoI) under Central Road Fund (CRF) accorded in September 2007 administrative approval for construction of a balanced Cantilever Pre-Stressed Concrete Bridge over river Chenab at Meri Mendraya at an estimated cost of Rs 21.82 crore.
The Chief Engineer, Public Works (R&B) Department, Jammu (Project Authority) finally awarded the work of construction of the bridge to the JKPCC on a lump sum contract basis at a sanctioned cost of Rs 21.82 crore. The JKPCC took up the construction of the bridge in October 2008. Subsequently, the JKPCC, submitted in June 2010 a revised cost offer of Rs 24.25 crore for the work against the approved estimated cost of Rs 21.82 crore.
In May, 2011, the enhanced cost was not accepted by the Project Authority stating that the bridge was sanctioned by the GoI under CRF and further funds were being demanded arbitrarily by the JKPCC. The JKPCC was also directed to submit fresh cost offer on factual and work done/ realistic basis.
Documents revealed further that a total amount of Rs 22.01 crore (The Project Authority had initially released Rs 1.80 crore upto (2006-07) prior to allotment of work in (2008) under CRF and Rs 20.21 crore after allotment of work upto 2012) was received by the JKPCC, and the value of work executed was Rs 23.89 crore as per JKPCC records. This exceeded the amount received by the JKPCC by Rs 1.88 crore (8.5 per cent) which was the difference of value of work done of Rs 23.89 crore and funds receipt of Rs 22.01 crore.
Documents state that the JKPCC had again demanded in November 2014 additional funds of Rs 2.24 crore (Difference of revised cost of Rs 24.25 crore and funds receipt of Rs 22.01 crore) from the Project Authority for completion of the project.
The Project Authority however, informed in November 2014 the JKPCC that excess up to only 10 per cent of the sanctioned cost (Rs 21.82 crore), was permissible under the CRF Guidelines, subject to furnishing of item-wise/ component wise details of cost escalation with full justification.
The JKPCC despite lapse of more than 87 months from the date of handing over of the bridge, had not provided the justification for cost escalation leading to non-release of funds by the Project Authority. Thus, failure of the JKPCC to restrict the value of work done within the sanctioned cost or provide justification for cost escalation within 10 per cent of the sanctioned cost, resulted in non-recovery of Rs 1.88 crore.
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