Road projects in UP fail to attract developers
Many developers are reluctant to take up new road development projects in order to avoid several issues that exist related to such projects. Two ambitious projects of Uttar Pradesh including new projects are failing to take off as there are no developers coming forward.
The two projects include Greenfield Expressway – proposed to be developed between Agra and Lucknow and the Night Safari project – proposed by the Samajwadi Party chief Mr. Mulayam Singh Yadav.
No bidders for Night Safari project
A financial bidding process for the Night Safari project had been set welcoming applications from interested developers. The last date for bidders to submit their application was set as November 15. Unfortunately, not a single developer participated in the financial bid process. Looking at the poor response from developers, the Greater Noida Industrial Development Authority has extended the date to November 22.
Developers’ claim
The developers allege that they are least interest in taking up road projects due to risky laws and massive corruption. Land acquisition related issues and various approval delays are the major issues that are generally associated with road projects in the last few years. This has resulted in reduced private participation in the sector and increased number of disputes. Adding to these problems, some of the financial institutions have also stopped funding such projects.
Night Safari project delayed
The Night Safari project was given green signal in May 2012 itself. The UP Cabinet had sanctioned approval to the project in around three months after this. The project was proposed to be developed on 102 hectares of land near Gautam Buddh Nagar University in Greater Noida.
In October, Uttar Pradesh industrial and infrastructure development commissioner, Alok Ranjan, had claimed that work on the Night Safari project would start within three months after finalizing the consultant, but the proposal is struggling to take off.
In August, the UP cabinet had sanctioned approval to the project. The project was put on hold following a regime change in 2007 even though it allegedly Though the project had all requisite approvals from Supreme Court and Central Zoo Authority, it was put on hold so far.
Greenfield Expressway
The 270-km long, six-lane route of Greenfield Expressway has often been spoken about during Akhilesh Yadav’s regime. The project cost estimated for the development of this stretch is Rs 9,000 crore. However, some response has been witnessed by developers in case of this project and that has given a little hope to the state government. At present, the government has been planning to convert the areas alongside the route into business hubs.
The CEO of Uttar Pradesh Expressways Industrial Development Authority (UPEIDA), Mukul Singhal, alleged that since the project is huge and as recession has hit the market, the developers are thinking twice whether to take up the project or not. He also added that the authority will look for more new options in order to get the project initiated soon.
