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Sunday, August 27, 2000

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A right step towards wooing investors

By Our Staff Reporter

NEW DELHI, AUG. 26. Ushering in an era of privatisation and offloading liabilities which have taken a heavy toll of the State's finances, the Delhi Government has decided to involve the private sector in a big way for execution of all future major infrastructural and development projects in the Capital.

The idea is to impart a sense of professionalism and commitment to time schedules so that not only the projects come up on time but are also not compromised from the quality point of view. And this move seems to have drawn a big response from the potential investors -- both from the private as well as public sector and also some foreign companies.

Convinced that the engagement of private consultants was a must to get the desired results both quality as well as expertise wise, the Delhi Government has already made a beginning in this connection.

In a decision reflecting the positive outlook of the Government, it been decided to award the work for setting up the Sonia Vihar Treatment Plant to a French company. The project, to be built on BOT basis, is slated to receive water from the Tehri Dam and has a capacity to treat 200 MGD of water. The project, costing around Rs. 200 crores, is scheduled to be completed in the next two years.

Enthusiastic about a favourable response, it is learnt that the Gas Authority of India (GAIL) and BSES power company, which operates the power distribution in Mumbai, have submitted a proposal to the Delhi Government to set up gas-based power projects in Delhi. It is understood that these two companies have shown interest in reviving the shelved Bawana Stage I and II power projects in the private sector. The Government is also inclined to responding favourably to the offer as it would enhance internal power generation of the Capital. Earlier, the Government had allotted the 330 MW Apollo Power project for execution in the private sector.

In another big move, the Government has gone ahead and given the task of conducting a study of the Wazirabad Water Works Plant to Vivendi, a leading water management British company. This private concern will conduct a study of the plant and submit a report to the Government within the next three months.

According to the Chief Minister, Ms. Sheila Dixit, the company would not only submit a report for upgradation and renovation of the old plant, it would also suggest ways and means to enhance the capacity of the plant by 10 million gallons. At present, the Wazirabad Water Works Plant supplies 135 million gallons of water. Not only this, according to the agreement, the British company would not take any money for the study in case the contract for upgradation of the plant is given to them. In case, it is opened for global tenders, it would charge a sum of Rs. 64 lakhs for the study.

On the other hand, the Government has also set in motion the process for privatisation of the Delhi Vidyut Board (DVB). It is awaiting approval of the Central Government to issue an ordinance to get the process of unbundling of the DVB started at the earliest. At the same time, it has also involved the private sector in a big way for imparting computer education to students in Government schools.

Not only this, the Government has also issued new guidelines for its own agencies for carrying out future construction work in the city. It has been decided that for construction of any Government building, it would be mandatory for the officials agencies to get the project cleared from private consultants to be appointed by the Government.

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