MARGAO, DEC 15
The Margao Municipal Council finds itself in a quandary over the payments to be made to Fomento towards waste tackling at the Sonsodo dumpyard.
The civic body is faced with the dilemma whether to make the full payments of Rs 7.31 crore to Fomento in one installment or pay Rs 12 crore over the next 25 years going by the Net Present Value.
Civic officials said the Municipality can pay the amount of Rs 7.31 crore in one installment and save the civic body from paying an additional Rs five crore for the next 25 years.
However, on this count, questions are raised how the civic body can make the fully payments without obtaining guarantee from the company that they will perform at the site for the next 25 years.
When contacted, MMC Chief Officer Prasanna Acharya said this delicate issue will be discussed threadbare with the municipal legal counsel Adv Nadkarni and work out a solution. He, however, clarified that the decision on the payments would be taken in a transparent manner, added that the draft Concession agreement would be placed before the Council for an appropriate decision.
‘The issue over the payments would be decided in a transparent manner. I will discuss this issue with the municipal legal counsel to ensure that the interests of the civic body are best protected”, Acharya said.
The issue has come to the fore after outgoing Municipal Chairperson Savio Coutinho has told the Chief Officer that work on the setting up of the plant at Sonsodo was awarded for an amount of Rs 7.31 crore, being the total project cost for a period of 25 years. He, however, has expressed surprise how the civic body can make payments to the tune of Rs 12 crores under the guise of the Net Present value concept.
Acharya said the civic body would obtain approval to the draft concession agreement from the municipal counsel and the same would be placed before the civic body for ratification.
Going by the developments, a meeting of the Council may be convened either by this month end or the first week of January to give the stamp of civic approval for the Concession agreement.
