PMC’s Rs 916 Crore Challenge: Delay In Land Acquisition Inflates Costs For Vital Road Projects In Pune
Pune, 26th October 2023: As the issue of traffic congestion intensifies on city roads, the Pune Municipal Corporation (PMC) is facing a significant financial burden due to the necessity of land acquisition for a seven-kilometre road widening project in the Yerwada area. The PMC will need to allocate Rs 916 crores to acquire 15 sites, and the costs have surged by Rs 294 crores due to the delay in land acquisition.
The escalating traffic congestion problem has prompted the Municipal Corporation to develop an integrated transport plan for the city road area. The plan encompasses proposals for level separators, flyovers, service roads, and road widening initiatives. One of the major projects involves widening a seven-kilometre stretch from Yerwada to Aaple Ghar society near Wagholi. The Municipal Corporation’s development plan outlines a road width of 60 meters. However, the PMC has acknowledged that the suspension of land acquisition proceedings for road expansion has resulted in a financial setback.
The process of land acquisition for the road expansion, as per the development plan, is currently underway. Special officers are overseeing the land acquisition process in Yerwada, Vadgaon Sheri, and Lohegaon areas. Notably, a sum of Rs 802 crores, 7 lakh, 4 thousand, and 888 is pending payment following the draft award’s approval. Additionally, an award amount of Rs 114 crores, 56 lakh, 82 thousand, and 655 is outstanding for the widening of a 60-meter road from Vadgaon Sheri, Lohegaon, Kharadi, Nagar Road CTR Company (Viman Nagar).
The slow progress in land acquisition required for road expansion has led to increased costs, causing traffic bottlenecks at city road junctions. Moreover, the planned service roads remain on paper, exacerbating traffic issues at Viman Nagar Chowk, Inorbit Mall Chowk, and Shastri Nagar.
The original land acquisition amount was lower, but the annual interest of 12 per cent has been accumulating on that sum. Consequently, the overall cost has grown. Despite this challenge, work is continuing as funding becomes available.
The PMC’s Land Acquisition and Management Department asserts that efforts are underway as soon as funding is secured.
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