State to discuss tollbooth closure in Kolhapur

The dispute between Ideal Road Builders (IRB) and the state government over compensation for the closing of a tollbooth in Kolhapur city is expected to be settled in a pre-Cabinet meeting to be held t

Update: 2015-11-14 19:32 GMT

The dispute between Ideal Road Builders (IRB) and the state government over compensation for the closing of a tollbooth in Kolhapur city is expected to be settled in a pre-Cabinet meeting to be held this Tuesday.

IRB claims it is owed Rs 473 crore in compensation, whereas the anti-toll action committee has estimated the amount to be Rs 192 crore. An official from the public works department (PWD) has claimed that the dispute would be settled at a sum of Rs 390 to Rs 400 crore.

The state government has already closed 12 tollbooths permanently and exempted light vehicles from toll tax at 53 tollbooths across the state since midnight of May 31. However, the toll tax is still applicable in the Kolhapur Municipal Corporation (KMC) area where IRB, the highways construction company that’s allowed to collect toll tax, has constructed internal roads within the city on Build-Operate-Transfer (BOT) model.

Minister for public works department Chandrakant Patil has assured citizens in his home district of relief from toll-tax. He took several meetings with IRB representatives and the anti-toll action committee to sort out the issue. However, no solution has been arrived at till date.

“The IRB demanded Rs 473 crore as compensation for closing down the tollbooth in Kolhapur city. However, the anti-toll action committee has finalised the amount of compensation at Rs 192 crore,” Mr Patil said.

Mr Patil further said that the report of the valuation committee had not considered the amount of interest and the Rs 90 crore given by IRB to KMC. “IRB claimed the amount to compensate including these two factors, he said.

Prof N.D. Patil, leader of the anti-toll action committee, said the IRB had already collected a huge amount from Kolhapur citizens as toll tax and this should be considered before deciding the compensation.

N.D. Patil said the KMC had also offered land worth Rs 107.57 crore to IRB as compensation, but the company had valued it between Rs 10 to Rs 15 crore.

Meanwhile, Mr Patil said, on Tuesday, a meeting would be held with Radheshyam Mopalwar, managing director of MSRDC, before the Cabinet. If the IRB refuses the compensation offered, then chief minister might have to intervene, the leader said.

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