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Pattiseema Makes No Sense!

According to the AP Reorganization Act, Polavaram was declared a national project which means the Center will completely bear the funding for the project.

Sujana Chowdary also reaffirmed that the Center promised to fund the entire project and complete it as quickly as possible with the AP government taking over the operational aspect of the project completely.

Chandrababu also declared that he will complete Polavaram in four years’ time. If Polavaram which is the lifeline of AP can be completed in four years’ time, then there is absolutely no need for the Pattiseema Lift irrigation project. Because the benefits of the Pattiseema project also will be realized after four years and not immediately.

So what is the point in spending Rs 1300 crore on it especially at a 22% excess by negating the existing ‘GO’ which prohibits an excess of more than 5%? Of course, Naidu says that the bonus of 17% over the existing 5% will not be paid to the contractors if they fail to complete the project within a year’s time.

But how can Naidu be trusted to keep his word? And in all likelihood, the contractors even if they fail to complete the project in a year’s time will probably claim excess compensation citing inflation and other unforeseen factors. This is normal procedure with all infrastructure, mining, exploration and irrigation projects.

Reliance had its gas price from KG Basin revised this way. Metro Rail Project in Hyderabad by L&T is now revised to Rs 20000 crore from the previous Rs 12000 crore. There are umpteen numbers of such examples.

It is also surprising that only two firms bid for the Pattiseema project despite the excess valuation of 17%. One would normally expect an increase in the number of tenders with the increase in margins.

Does it come as any surprise then to know that the Polavaram works have been allotted to a company owned by MP Rayapati Sambasiva Rao who belongs to the same community as Naidu?

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