Latest news with #MSRDC
India Today
3 days ago
- Business
- India Today
Ajit Pawar orders audit of Eknath Shinde-led body as Mahayuti tussle simmers
The Maharashtra Planning Department, headed by Deputy Chief Minister Ajit Pawar, has sought an independent audit of the Maharashtra State Road Development Corporation (MSRDC), led by Eknath Shinde, bringing to focus the simmering power tussle within the the centre of the move is the Rs 86,358 crore Shaktipeeth Expressway - the 802-km Nagpur-Goa corridor billed to be among India's costliest road projects. Earlier this week, the Maharashtra Cabinet approved a Rs 20,787 crore loan guarantee for the project's land the Finance Department, also under Pawar, has deemed the 8.85% interest rate on the Housing and Urban Development Corporation (HUDCO) loan for the Shaktipeeth Expressway financially unviable. It has argued that the state's own bonds fetch interest at a significantly lower 6.75%.SHAKTIPEETH EXPRESSWAY PROJECT The Finance Department has said the loan would burden the cash-strapped state. In a Cabinet note before the approval, the department had warned that off-budget borrowing would impact Maharashtra's loan-seeking capacity in the state is already reeling under a debt burden. As per estimates, Maharashtra's outstanding loans are projected to touch Rs 9.32 lakh crore by March 2026, with Rs 1.54 lakh crore earmarked solely for decision to borrow from HUDCO for the Shaktipeeth Expressway, a pet project of Chief Minister Devendra Fadnavis, is expected to further push the fiscal deficit to 4.08% and increase the debt-to-GSDP ratio to 25%. It has led to concerns about possible cuts to revenue expenditure and public welfare this juncture, the Planning Department seeking a review of MSRDC's finances has added to the tensions. The agency is overseeing major projects, including the Shaktipeeth Expressway, Pune Ring Road, and the Nanded-Jalna Planning Department has flagged MSRDC's existing loan guarantees of Rs 24,190 crore backed by the state, with budgetary provisions for the Comptroller and Auditor General (CAG) of India has also pointed out issues in MSRDC's financial and operational practices. Earlier, former MSRDC managing director Radhesham Mopalwar was accused of amassing disproportionate assets worth fresh tussle between Pawar and Shinde comes after Fadnavis's move to curb the unauthorised retention of personal secretaries (PS) and Officers on Special Duty (OSDs) by several ministers from the Shiv Sena and the NCP has added another layer to the tensions within Mahayuti.- Ends
Indian Express
3 days ago
- Business
- Indian Express
Ajit's dept red-flagged financial liability before Rs 20,787-cr approval for Shaktipeeth project
The Rs 20,787 crore loan guarantee extended by the Maharashtra cabinet for the land acquisition of the proposed Nagpur-Goa Shaktipeeth Expressway 'will put a financial burden on the state and the off-budget loan will impact the state's capability to seek loan', said a note submitted by the Finance department on Tuesday, ahead of the cabinet approval for land acquisition for one of the largest road infrastructure projects in the country. Raising questions over borrowing at a higher rate for the project, the note also pointed to the financial status of the state and also advised the government to rethink the state government's Build Operate and Transfer (BOT) policy for mega projects and prioritise projects by appropriate use of available financial resources. The Finance department in its note submitted to the state cabinet said that as per the budget estimate for 2025-26, the state government will be burdened with a loan of Rs 9.32 lakh crore by March 2026. 'In the financial year 2025-26, the state will pay Rs 1.54 lakh crore in repayment of loan only. By the end 2024-25, loans worth Rs 24,190 crore raised by the Maharashtra State Road Development Corporation (MSRDC) are being guaranteed by the state government and the budget provision has been made for the repayment of principal and interest amount. The mentioned loan (for Shaktipeeth) is not part of it. Around 22% of the government's money meant to pay for obligations is currently being used to repay loan and interest,' said the Finance department note. The Maharashtra cabinet on Tuesday cleared the decision to give administrative approval of Rs 20,787 crore (Rs 12,000 crore principal amount and Rs 8,787 crore interest) for the land acquisition of 802-kilometre Shaktipeeth expressway. As per the initial estimate, the project is likely to cost Rs 86,358.90 crore to the state exchequer and may turn out to be one of the costliest road projects in the country. The Finance and Planning department headed by deputy Chief Minister Ajit Pawar further raised several critical points regarding the state's economy as well as the 'financial structure' of the MSRDC, headed by deputy CM Eknath Shinde. The Finance department has also questioned the 8.85 per cent interest rate for the loan that it said is being taken from The Housing and Urban Development Corporation Limited especially when the state government has been raising funds through issuance of bonds, from open market at 6.75 per cent in April 2025. 'The difference is 2.1 percentage points and it is expected from the government to repay the off-budget loan. It is not financially viable to repay a loan at 8.85 per cent at a time when the state was raising loan through bonds at 6.75 per cent,' the note said. 'While preparing the future budget estimates for 16th Finance Commission, it has been found that capital expenditure will grow at a compounded annual growth rate (CAGR) of over 10 per cent, Fiscal deficit rise from 3.13% to 4.08%, which is more than 3% limit of FRBM and loan to GSDP ratio will reach 25%,' said the note. It also warned that in case of increase of capital expenditure by more than 9 per cent for mega infra projects, the revenue expenditure will have to be reduced for which committed expenditure will need to be cut down and rationalisation of schemes need to be undertaken. The department also pointed out that the project funding is likely to put pressure on the state budget as the MSRDC has demanded funds from the budgeted amount for debt servicing costs of existing loans and for construction of ongoing projects such as Pune Ring Road, Nanded-Jalna Highway. 'The loan for the proposed project will increase the demand for funds from the budgeted amount and the state faces a financial burden to repay the principal and interest amount of the loan,' said the note.
Time of India
3 days ago
- Automotive
- Time of India
NHAI's new 3,000 FASTag pass to ensure savings on frequent Mum-Surat commute
Mumbai: For engineering students Amit Joshi and Rajesh Kamte, carpooling between Mumbai and Nashik with their friends will get a lot cheaper from August this year. According to them, spending Rs 140 (Rs 280 two-way) on tolls on the old Mumbai-Nashik route every week or every two weeks cost them Rs 10,000 annually, considering almost 35 trips a year. With the new NHAI FASTag pass applicable from August 15, the one-way cost would be just Rs 20-25 (Rs 40-50 two-way), which means the annual expenditure would be around Rs 2,000 to 2,500, a saving of about 75%, says Amit. However, a parallelly built Samruddhi highway would cost motorists around Rs 160-180 one way, though it will be faster than the old highway route, Rajesh added. NHAI has introduced a FASTag-based annual pass priced at Rs 3,000, effective August 15. Valid for one year from the date of activation or up to 200 trips—whichever comes first—this pass is designed exclusively for non-commercial private vehicles such as cars, SUVs, jeeps, and vans. You Can Also Check: Mumbai AQI | Weather in Mumbai | Bank Holidays in Mumbai | Public Holidays in Mumbai Lakhs of motorists frequenting between Mumbai and Nashik, or Mumbai and Surat, or Mumbai and Ratnagiri using the old national highways will save a lot on their toll expenditure if they use this Rs 3,000 FASTag pass. Hitesh Domadia, an IT executive with a banking firm, said since he and his brother's family hailed from Surat, spending Rs 560 two-way on tolls on the Ahmedabad highway every two weeks is the norm. However, with the new pass, the toll expenses of around Rs 1,120 (two trips to Surat every month) would come to a paltry Rs 320 to 360, said Mitesh, Hitesh's younger brother. However, a new greenfield Mumbai-Delhi expressway being built parallelly will charge over four times, though it will be faster. For the Domadias, their bimonthly company visits to Vadodara and Ahmedabad will also get a lot cheaper, given two to three additional toll booths beyond Surat towards Ahmedabad. Thus, a large number of Mumbaikars taking the three national highways — towards Goa, Ahmedabad, and Nashik — almost every week would save a lot on toll. Since the Mumbai-Pune and Mumbai-Nagpur expressways have been built by the state, the new pass will not benefit motorists from them. Thus, as of now, state highways will continue to charge tolls as per their existing rates, revealed MSRDC officials, pointing out that similar passes could be devised for the state after consulting the national authorities.
Time of India
4 days ago
- Automotive
- Time of India
Weeks after opening, potholes surface on new Samruddhi e'way
MUMBAI: Potholes have surfaced on an asphalted bridge near Shahapur exit on the newly opened Amane (Bhiwandi)-Igatpuri (Nashik) stretch of Samruddhi Mahamarg, raising questions over the quality of work and the safety of motorists cruising at high speed. MSRDC MD Anil Gaikwad clarified that the bitumen layer - normally put on the concrete surface of the culverts of smaller bridges - had worn off at this point, but has been restored. "It is a concrete bridge with three inches of bitumen layer on the surface and was in no way indicative of any damage to the structure," he added, pointing out that monitoring for maintenance was being done every day. The pictures of potholes were uploaded on social media by motorists who took the road via Shahpur exit. The 76-km stretch of the expressway was inaugurated by CM Devendra Fadnavis and his two deputies on June 5. The entire greenfield Samruddhi corridor from Mumbai to Nagpur has been built at a cost of over Rs 60,000 crore and is planned to be extended on either sides up to Vadhwan greenfield harbour in Palghar and towards Gadchiroli, the forest district of Vidarbha near Nagpur. You Can Also Check: Mumbai AQI | Weather in Mumbai | Bank Holidays in Mumbai | Public Holidays in Mumbai Presently, to take Samruddhi expressway via old Nashik highway, a temporary arrangement has been made for four-five months till the Delhi-Mumbai expressway corridor completes the construction of clover leaf junction that will offer smooth connectivity from all directions. For the traffic coming from old Nashik highway wanting to take Samruddhi for Nagpur, there is a left turn on a temporarily built road ahead of Shangrila junction in Bhiwandi at Aamne village and then a U-turn via an underpass built 600 meters ahead of the junction to eventually come back on the Nagpur-bound Samruddhi arm.
Hindustan Times
4 days ago
- Business
- Hindustan Times
Activist opposes Bandra Reclamation project, says MSRDC can't act as private landholder
MUMBAI: Activist Zoru Darayus Bhathena on Tuesday filed a rejoinder in the Bombay high court with regards to his April 2024 petition questioning the Maharashtra State Road Development Corporation's (MSRDC) decision to allocate 24 acres in Bandra Reclamation to Adani Realty for commercial development. The plot is located close to the Bandra Worli Sea Link (HT Photo) The rejoinder contended that the 24 acres were part of a 57-acre plot which comes under the Coastal Regulation Zone (CRZ) and thus, cannot be exploited for commercial use. The MSRDC cannot act as a private landowner as the land came into being for the purpose of the Bandra Worli Sea Link – a public project, it said. The original petition, filed in April 2024, was also in force to restrain the MSRDC and other respondents from using the plot in a manner that was legally impermissible and contrary to public interest, the rejoinder stated. The rejoinder was necessitated as the Adani group firm that won the bid to develop the plot had claimed in court that the land belonged to the MSRDC and the corporation had allowed its commercial exploitation. The MSRDC too had contended that a writ directing it to use the land in a particular way was not maintainable as the land no longer fell within the CRZ area. The prime land parcel located along the Bandra Worli Sea Link approach road faces the Mahim Bay and is valued at an estimated ₹ 30,000 crore. It currently houses a casting yard and the MSRDC office, and it has been allocated for commercial and residential use as per the Development Control and Promotion Regulations, 2034. In the detailed affidavit submitted on Tuesday, Bhathena disputed claims in the tender for commercial development of the plot, which said the project area was confined to 24 acres of land 'freely available for development'. The 24 acres were part of the 57-acre plot which Bathena's original petition had mentioned, and commercial exploitation of even the 24 acres was not allowed as the entire plot was located in the CRZ area where such development was prohibited, the affidavit said. Bathena claimed that the land was previously owned by the state government and it was vested with the MSRDC via an order dated January 30, 2018. Several conditions were imposed on MSRDC when the land was transferred, including obtaining prior approvals for any development on the plot from the Maharashtra Coastal Zone Management Authority (MCZMA) and the Ministry of Environment and Forests (MOEF). 'By seeking to restrain MSRDC from acting contrary to the conditions, which were clearly intended for public benefit and which are now brazenly being breached by MSRDC, I merely seek to enforce against MSRDC covenants on the basis of which the land was granted to it,' Bhathena submitted in court. The affidavit further stated that the MSRDC was permitted to reclaim the land on the express assurance that it would be kept open and developed as a 'green area'. Conditions were incorporated in the environmental clearance on the ground that only a road would be constructed and the remaining portion would be left open. Bhathena told the court that the Brihanmumbai Municipal Corporation (BMC) had, in its reply to the court on March 6, 2025, stated that the land was under the Coastal Regulation Zone. The civic body had referred to the land as 'no development zone' within the CRZ II-Greater Mumbai area. 'Even assuming whilst denying that the land falls outside the CRZ area, the commercial exploitation of the land still remains prohibited,' said Bathena. He submitted that Mumbai has just 1.1 square meters (about 1 square foot) of open space per person as compared to the recommended 10 square meters. If commercial exploitation of the land which was reclaimed on the express assurance that it would be kept open and green was permitted, yet another precious public resource would stand appropriated in favour of private interests, he said. HT reached out to the Adani group for comments on the development, but there was no response from the company.
