THIRUVANANTHAPURAM: There is no one to take up new contracts as bills worth Rs 4000 crore in projects including the Jal Jeevan Mission are due. According to the Water Authority Contractors Association and the Kerala Government Contractors Association, no action has been taken to pass the bills even after informing the Water Authority and the Finance Department in writing that the existing works cannot be continued.
Even the contracts undertaken are not being completed due to the increased cost of construction materials and low base rates fixed years ago. As small contractors withdraw, most of the contracts are awarded to big players like the Uralungal Society. However, as the bills have not been passed, they have also gone backwards in taking up projects.
Arrears to date
(According to official figures till October 2024).
Total- 3650.31 Cr
Centre also banned
Jal Jeevan Mission started in 2019 at a cost of 44,714.78 crores was proposed to be completed by March 2023 but has been extended till March 2025. 5152.51 crore state share and 5610.30 crore central share was received in the first phase. Through this, 59,770 km of pipelines were laid in 104 villages. Finding no progress in the project, the Center suggested not to award contracts for new works after August 2024. With this, getting the allocation from the centre for the next phase became a crisis. The Water Authority has written to the government seeking loans from HUDCO, NABARD, and LIC to find state allocation for the second phase of the work, but to no avail. Water authority officials said that they are still trying to seek permission from the Centre to extend the project period and extend the date for awarding the new contracts.
'Other than the government repeating that it will pay the dues and revise the basic rates, there has been no action'
:-Unnikrishnan Malappuram
Water Authority Contractors Joint Strike Committee