The Rs 1300 crore Pattiseema Lift Irrigation Project would be unnecessary if the Polavaram project can be completed. It would save the State, Rs 1300 crore.
The benefits of the Pattiseema project will also be realized in about five years. In that case, it’s a project best avoided because Chandrababu Naidu says that he will complete Polavaram in another four years.
When Polavaram can be completed in four years, what is the need for Pattiseema?
The actual truth is that Naidu needs the project for providing water to the new capital region. Much like the way the heart of the ‘fakir’ is in the parrot; Naidu’s heart is in the new capital region. There is absolutely no way, Naidu can complete Polavaram in four years. Hence he needs Pattiseema.
At the same time he has made it profitable for his people by awarding the project at a mark -up of 22%. The YSR government had then passed a GO making it mandatory for the mark-up to not exceed 5%. Naidu has set this aide saying that Pattiseema is a special project.
Defending his decision to award it at 22% excess from the customary 5%, Naidu says, “The contractors will complete it in one year. If they fail to meet the deadline, they will get only 5% excess.”
YS Jagan is not amused with this explanation. “How can you give a 16% bonus for completing the project in one year?” questions Jagan. Even if the project is not completed within a year, the contractors will walk away smiling because later on they will cite ‘escalation in cost of project due to inflation and factors beyond our control for which we expect the State government to reimburse us adequately to the tune of say, Rs 500 crore.’
This was what Reliance did with the KG Basin! Hell, all companies do it!
