Mangaluru: In the wake of recent media reports doing the rounds that every citizen in the purview of Mangaluru City Corporation indebts a loan of Rs 9,000 owing to the projects here, Mangaluru South MLA JR Lobo said it is absolutely necessary to avail loan towards developmental projects.
Addressing a press conference at the MCC office on Monday December 21, Lobo said that since the projects involve high capital investment, it requires loan adding all developed cities such as Hyderabad, Mumbai, Ahmedabad, West Bengal and Chennai are developed on loan adding Mangaluru is a megalopolis with least amount of debt to its name. He urged the citizens to be tension free about the impending debt.
Speaking about the Asian Development Bank (ADB) funded project II, Lobo said that the MCC has received a grant of Rs 340 crore, out of which Rs 190 crore will be invested on water supply while another Rs 150 crore will be used towards sewage management. While 40 per cent subsidy will be provided on water supply, 50 per cent of the funds will be taken as loan from the government. Another 10 per cent share will be borne by the Mangaluru City Corporation.
For sewage treatment, 50 per cent subsidy will be provide, 40 per cent of the amount will be taken as loan and the rest 10 per cent will be accredited to the MCC, Lobo informed.
Amrut Yojan
Speaking about Amrut Yojan, Lobo said that after all the deduction, the MCC has received Rs 160 crore out of which Rs 148 crore will be reserved only for sewage management. Another Rs 10 crore will be invested in storm water drainage while the remaining Rs two crore will be used for passes.
He said that the drainages and manholes built during 1958-60 were completely distorted and had to be replaced on priority. Modern technologies such as pipe bursting will have to be employed in the process.
Regarding the ADB Project I, Lobo said that work is still pending and that the MCC has still not started repaying debts. Lobo informed that ideally, the MCC should have started repaying the amount about four years ago. However, the drainage work was still not fully commissioned due to which the MCC was not eking benefits without which it is not possible for the civic body to start paying the money.
