Delay in off-shore reservoir works escalate cost

Srikakulam: Delay in ongoing off-shore reservoir works has resulted in escalation of cost to Rs 339 crore. The reservoir was proposed to construct on Mahendratanaya river in 2007 to provide both irrigated and drinking water in Nandigama and Palasa mandals.

In 2008 on February 14, the then Chief Minister YS Rajasekhara Reddy had laid the foundation for the project at an estimated cost of Rs 127 crore. Later, the government signed an MoU with the contract company on February 17, 2008 and one year was fixed for its completion i.e; till February 17, 2009. But due to various reasons works were not completed on time. Hence, price of construction material has been increased. 

Now engineering officials and contract company urged the government for enhancement of target period till July 31, 2019. “Project period enhancement is in the hands of State Level Standing Committee (SLSC) which is stressing for completion of works by January 31, 2019”, project executive engineer B Sekhar Rao told The Hans India.