Super E-way gets cash-strapped

Mumbai: Chief minister Devendra Fadnavis’s ambitious project, the Mumbai-Nagpur Samruddhi Mahamarg expressway, is struggling to raise money. The state government had asked various bodies to extend a helping hand of Rs 1,000 crore on interest to MSRDC, which is looking after the project. However, the state’s richest body, City and Industrial Development Corporation (CIDCO), is struggling to get the required amount ready and is likely to give only Rs 200 crore.

Nearly Rs 46,000 crore will be required for the completion of the CM’s pet project. Out of which Rs 13,000 crore will be needed for land acquisition and compensation purposes. To raise this amount, the CM had written to government undertakings to give Rs 1,000 crore each to MSRDC.

The Mumbai Metropolitan Region Development Authority (MMRDA), Maharashtra Housing and Development Authority (Mhada), CIDCO, Maharashtra Industrial Development Corporation (MIDC), and Slum Rehabilitation Authority (SRA) had been asked to contribute. Money contributed would be in the form of a loan and MSRDC would have to repay with interest of 8.14 per cent up to 10 years.

However, highly-placed sources from CIDCO confirmed to The Asian Age that the body was unable to give such a huge amount to MSRDC as of now.

“MSRDC has been a weak body. You cannot pay this much to them just because the government has ordered. Even unions could go against this decision,” said an officer close to the decision on condition of anonymity. He further said, “CIDCO is trying to raise money. As of now, Rs 200 crore is there with us to give. But we don’t know whether we will be able to pull together more than this.”

Reacting to the story, CIDCO chairman Bhushan Gagarani said, “We will give a loan of Rs 200 crore to begin with. MSRDC needs (this money) for land acquisition.

The process may take some time. So, we have decided to give Rs 200 crore and then monitor disbursement. CIDCO has its own commitments to complete including the airport, metro and other infrastructure.”

Current scenario

• While around Rs 46,000 crore will be required to complete the project, CIDCO is likely to get only Rs 200 crore.
• Out of the Rs 46,000 crore, amount required for land acquisition and paying compensation would be Rs 13,000 crore.