Not confident with PPP mode,govt to take full charge of smaller projects

The Punjab Infrastructure Development Board (PIDB),which is executing many upcoming projects,will play no role in the development of projects proposed to be executed by the transport wing.

Transport Minister Master Mohan Lal told The Indian Express the existing build,operate and turn (BOT) arrangement to set up state-of-the-art bus stands in the state was not contributing to generate revenue for the department.

He said,“Under the BOT arrangement,we are like tenants in our own house. The department is paying a huge adda (bus stand) fee to the lessee. It is not viable. For smaller ventures we have decided to undertake projects on our own and we have already started work.”

Official sources said the department will set up bus stands in Ropar,Kapurthala,Sangrur and Faridkot without the involvement of a private player. On Friday,a meeting to discuss modalities for the upcoming bus stand in Ropar was held. The existing land for the project in Ropar will be swapped with a same area that the local improvement trust proposes to hand over to the Punjab Roadways.

A top official said,“At certain places,the department was paying close to Rs 1 crore as adda fee for its own buses. It was a huge drain without much earnings.”

He said PPP mode that puts in place a BOT arrangement for the government could be suitable for mega set ups like the ones in Mohali or at Patiala. However,for not-so-huge projects,its viable to commission the projects through a loan arrangement with banks. In fact,the government experimented with its new line of thought,drifting from the PPP mode,when it set up a bus stand in Hoshiarpur on its own. Sources said,the project was brought up in a record 15-months’ time and meet stipulated standards. The official said,“It is the first bus stand to have an air-conditioned waiting room for women. It has a food court,underground parking and all other facilities.”