Bhubaneswar, Oct 28: In a significant development, Odisha government has signed a Concession Agreement under Public Private Partnership (PPP) with a private sector player for a bulk water supply project in the state capital.
The project on its completion will supply water to renowned institutions like IIT, Bhubaneswar and National Institute of Science Education and Research (NISER), industrial establishments like INFOCITY-II, Sea Food Park at Deras and Khordha and Jatni towns.
The agreement was signed between Public Health Engineering Organisation (PHEO) and the Special Purpose Vehicle (SPV) formed by consortium of Megha Engineering & Infrastructures Limited (MEIL) and Koya & Company Construction Limited in presence of chief minister Naveen Patnaik and senior officials at the State Secretariat here on Monday.
CM Patnaik appreciated the effort of Housing & Urban Development department in grounding a complex PPP project involving multiple beneficiaries. He said that the new State Urban Water Policy-2013 has committed for an investment of Rs 4, 380 crore for providing universal access to potable pipe water at affordable, equitable and sustainable manner. He asked the department to take up more urban infrastructure projects in PPP mode in future.
Shri G. Mathi Vathanan, Commissioner-cum-Secretary, Housing & Urban Development Department welcomed the Members and said that the Rs 188 crore project shall be operational by April, 2017. This will benefit more than 2 lakh population with uninterrupted supply of clean drinking water at affordable price.
He said that Odisha is the first State to execute such complex water sector project with multiple beneficiaries on PPP mode with funding under the Viability Gap Funding (VGF) scheme of the Centre. The project has been awarded with a maximum VGF of Rs 50 crore to be funded jointly by Government of Odisha and Government of India.
The project, which has been awarded on DBFOT (Design-Build-Finance-Operate-Transfer) basis for a Concession Period of 25 years, would be integrated with the existing water supply system of Khordha and Jatni.
The Concessionaire has been selected through a transparent bidding process as per the guidelines of the VGF scheme. The Concessionaire MEIL (Bhubaneswar) Bulk Water Supply Private Limited is a leading Hyderabad based infrastructure firm and has successfully completed many infrastructure projects including water supply projects across the country.