Wednesday, October 28, 2015

CM meets Union Ministers in New Delhi Discusses FRBM, Density of Highways and Dry Port:Vanam Jwala Narasimha Rao

CM meets Union Ministers in New Delhi
Discusses FRBM, Density of Highways and Dry Port
Vanam Jwala Narasimha Rao

Chief Minister K. Chandrashekhar Rao met Union Ministers for Finance and Road Transport, Highways and Shipping on 27th October 2015 during his visit to New Delhi to attend NITI Ayog meeting. When he met Finance Minister Arun Jaitley CM made a request to him to increase the State’s borrowing limit under the Fiscal Responsibility and Budget Management (FRBM) Act. Chief Minister submitted a memorandum to the Union Minister in support of the demand for increase in the FRBM borrowing limit. CM brought to the notice of Finance Minister about 14th Finance Commission recommendations mentioning that the states which are showing revenue surplus can be permitted to access market borrowings at 3.5% of the State GDP by raising ceiling of 3% as per FRBM criteria. Accordingly said CM, that, the FRBM limit to Telangana State to be increased to 3.5% as the State satisfies all the criteria laid down by the Finance Commission. Chief Minister’s appeal to Finance Minister is in fact is a reiteration of his earlier request few months ago. The Chief Minister also sought funds for development of backward districts and Centre’s support for welfare and development schemes taken up by the State Government. Union Minister responded positively to the State’s requests. 

Chief Minister in another memorandum brought to the notice of Finance Minister the issue related to Hyderabad Metropolitan Development Authority (HMDA). The issue pertains to assessment of Income Tax on the revenues generated by HMDA, which is engaged in activities that directly contribute to Urban Development. CM quoted a letter from him wherein it was stated that the exemption can be granted under Income Tax Act, if the State Authority is not engaged in commercial activities and satisfies the other criteria as laid down. However, said CM that the request of HMDA for being notified under Income Tax Act was routinely rejected on technical grounds by the authorities of Income Tax.


            CM said that Since the HMDA is an autonomous body created especially to plan, promote and execute developmental projects in Urban Agglomeration, the Income derived by it through license fee, developmental charges or other revenue generating activities, often mislabeled as commercial in nature and hence need to be looked into with a fresh perspective. CM further said that Urban Development Bodies should be encouraged to improve resource generation so that the same can be used for rapid urban growth which is essential for the growth of the country. Similarly all the revenue surpluses and income generated by Urban Development Authority are ploughed by into projects which contribute to the spiral of urban growth as per the polices and direction of state government said CM. Against this background CM requested Union Finance Minister to reconsider the whole policy and make provision in the Finance Act 2016 to retrospectively grant exemption from income tax to the Urban Development Authorities.

Arun Jaitley told media persons later that CM’s suggestions and requests has already been forwarded to the Economic Affairs wing of the Ministry for examination.

            In a separate meeting with Union Minister for Road Transport, Highways and Shipping Chief Minister submitted seven memorandums pertaining to density of national highways, funds for repairs to urban stretches of national highways, extension of NH 63 to join NH 161, funds for overlay works NH 65 national highway, four laning between Palvancha-Bhadrachalam, extension NH 563 up to Khammam to join NH 365-A and about improvements in NH 44.

Details:
The density of national highways in Telangana State Per hundred square kilometers area is 2.25 as against 3.06 in A.P, 3.28 in Karnataka, 4.66 in Kerala, 3.85 in Tamil Nadu and the national average density of 2.84. CM has requested to upgrade six state highways as national highways in the first phase the total length of which would be 1015 kilometres. They are: 249 KM of Hyderabad-Narsapur-Medak-Yellareddi-Banswada-Bodhan-Basar-Bhainsa connecting NH 61 (old NH 222); 133 KM of Hyderabad-Bijapur road via Moinabad, Chevella, Manneguda, Kodangal up to Karnataka border; 220 KM of Kodad-Miryalaguda-Devarakonda-Kalwakurthi-Jadcherla; 87 KM of Nirmal-Jagityal via Khanapur, Mallapur and Raikal connecting NH 61 (old NH 222) and NH 63(old NH 16); 177 KM of Ashwaraopet-Khammam-Suryapet and 149 KM of Karimnagar-Sircilla-Kamareddy-Yellareddy-Pitlam. CM told Minister that the up-gradation of above state roads as National Highways is as mandated in schedule XIII of AP reorganisation act.

CM told Minister that almost all the National Highways originating from Hyderabad have been improved to four lane standards and are being maintained reasonably well. However, said CM that the National Highway sections in city limits are neglected. Some sections are under the control of NHAI and some are being maintained by state PWD. The cost of improvements is estimated to be about Rs. 150.00 Crore. As part of strategic Road Development Plan, all the state and municipal roads in Hyderabad city are being improved. The National Highway segments in Hyderabad city are also simultaneously to be improved. CM requested Transport Minister to issue necessary instructions to the concerned to sanction additional funds for repairs to urban stretches of National Highways as a special case to ensure smooth flow of traffic in Hyderabad city apart from enhancing the image of Governments.

With regards to extension of NH 63 CM said that about two years back a State Highway connecting Bidar in Karnataka with Nizampet in Telangana (on NH 161) was upgraded as National Highway No. 50 with a view to improve connectivity for the people of Bidar and Medak Districts going to Maharashtra and Chhattisgarh. CM said that while the connectivity to Maharashtra is completed as it joins Nanded bound NH 161 at Nizampet, there is a missing link for Chhattisgarh bound traffic between NH 161 and NH 63 (Nizamabad–Jagdalpur Highway). To complete the connectivity to Chhattisgarh, it is proposed to upgrade the state road of about 70 KM length from Madnoor (on NH 161) to Nizamabad (on NH 63) via Rudrur, Kotagiri, Pothangal, Bodhan etc. CM requested to extend NH 63 up to Madnoor to join NH 161 to complete connectivity between Karnataka, Telangana and Chhattisgarh.

Another issue that was discussed was about Hyderabad – Sangareddy section of NH–65 that was developed by a BOT Construction in the year 2008. CM said that from the beginning the maintenance of the highway has been neglected and the overlay work which was due in 2013 was also not taken up. As a result, the condition of the road has deteriorated and the concessionaire issued a termination notice raising dispute over loss of revenue. Pending resolution of dispute with the concessionaire, CM requested to sanction funds for taking up overlay works on this important highway stretch connecting Hyderabad and Pune.

Chief Minister thanked Minister for Transport for sanctioning improvements to Vijayawada (AP border) – Bhadrachalam section of NH 30. CM said that the scope of work in the sanctioned project is 2 Lane with paved shoulders for a length of 60.75 Kilometres and 4 Lane in a length of 33.50 Kilometres. This Highway connects Vijayawada with Bhadrachalam, the famous pilgrim centre and passes through important mineral belt and has industries like NTPC, Navabharat Ferro Alloys, ITC paper mill, Heavy water plant etc on it. This road stretch in view of its heavy traffic requires 4 laning instead of proposed 2 Lane with paved shoulders. CM said that the traffic on this road will be particularly high between Kottagudem and Bhadrachalam as the traffic from Khammam and Rajahmundry also joins at Kottagudem. In the ongoing project already four laning is proposed for 25 km, leaving a balance length of 17.60 km. A second two lane bridge across Godavari at Bhadrachalam is also under construction. If four laning is considered in the balance length between Palvancha and Bhadrachalam, there will be smooth flow of traffic to Bhadrachalam said CM. CM told Minister that land is totally available and there is no problem of Forest land or utility shifting and hence it is desirable to take up four laning once for all instead of two laning with paved shoulder first and then four laning at a later date, which results in wasteful expenditure apart from causing inconvenience to traffic. CM requested for sanction accordingly.

Chief Minister also brought to the notice of Minister that the Government of India declared new National Highway 563 in the State of Telangana. He said that it was mentioned in the Gazette as “National Highway starting near Mancherial on NH 63 connecting Karimnagar and terminating at NH 163 near Warangal”. There are two routes from Mancherial to Warangal, one route via Jagityal and Karimnagar and the other directly via Karimnagar. Out of this, the road from Mancherial to Jagityal which is about 70 KM is already part of NH 63 (old NH 16) and the road from Mancherial to Karimnagar is a State Highway developed to four lanes under PPP. As such the NH 563 as taken over by NH wing starts at Jagityal and terminates at Warangal connecting Karimnagar en route. Detailing this CM requested to consider extension of NH 563 up to Khammam to join NH 365-A which facilitates connecting three important District Head quarters Karimnagar, Warangal and Khammam in Telangana state duly utilizing the leftover length from Mancherial to Jagityal. CM said that this will help in establishing connectivity to the industrial belt of Maharashtra with the mineral belt of Telangana State and several ports in Andhra Pradesh.


Last issue CM discussed with Minister is about improvements to be taken up to NH 44 from Aramgarh junction to Shamshabad International Airport on southern side of Hyderabad city. This stretch is under the control of NHAI now. CM said that this is an important road segment as all airport bound traffic and VVIP movement takes place on this 10 km long corridor. Considering the above problems, it was already requested to six lanes the above corridor with two lane service road along the entire stretch. It was also requested for providing a fly over at Shamshabad and a Vehicular under pass (VUP) at Gaganpahad. He said that similarly on northern side of Hyderabad, the stretch of NH 44 from Bowinpally to Kompally is in bad shape. CM requested that the balance service roads, over lay works and safety arrangements to be taken up for ensuring free flow of traffic.

The Union Minister responded positively to these requests and also for development of dry port and inland waterways in Telangana.

On the following day CM met Union Home Minister Rajnath Singh and Rashtrapati Pranab Mukherjee . End

28-10-2015

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