Its a Shrinking World

Even as working mothers at EC complain of not being able to spend time with their new borns, KA Govt's incessant, relentless attack on BMIC, gives a whole new meaning to the phrase "its a shrinking world".

If last week it was Global Infrastructure Consortium and its monorail, this week its, I'm kidding you not, Asian Infrastructure Consortium, headed by a Malaysian monorail company! Even before you can say Swiss Challenge, within one week, HDK's KA govt has come up with a whole new proposal and a whole new petition. Less than a week after the supreme court "restrained" the state government from its plans for GIC, the state government on Monday moved the Supreme Court again seeking permission to cancel the agreement entered into with NICE for the implementation of the BMIC project in favour of AIC.

Here is what the SC said last week and what the State Govt did this week --

Last week the SC told the state: “this matter requires consideration particularly whether you (the State) can contravene the directions issued by this court and issue such a notification.” “Until further orders, no action whatsoever shall be taken pursuant to the notification dated September 17 issued by the State of Karnataka and the advertisement issued pursuant thereto. Place the matter after four weeks.”

The Karnataka Government, on Monday, in a fresh petition, submitted that world over governments exercise the rights of eminent domain for public benefit and exercise the contractual rights in a manner that would bring maximum benefits to the State. It said there were several precedents where the project sought to be implemented by private agencies were either re-structured, cancelled or implemented through other agencies if either the change in circumstances make the project onerous to the State or in view of certain advanced technology or other such beneficial changes the projects had lost their attractiveness in the existing form.

The petition said that a proposal had been received recently from a consortium called Asian Infrastructure Consortium led by a Malaysia-based monorail company (currently being examined by the Government) which was requested by the Malaysian Government to implement the monorail project in Kuala Lumpur, which was originally to be completed by Hitachi Corporation.

The petition said that even though the State was convinced of the benefits to it in restructuring and re-awarding the contract through alternative means and having absolute rights to cancel the contract, still it was seeking permission from the court to exercise its contractual rights in a fair manner. It sought permission to exercise its contractual rights under the Framework Agreement dated April 3, 1997 and to implement the project through alternative means.

How long before we see HIC - Hardanalli Infrastructure Consortium? All this would be funny if it were not tragic and seriously impacting Bangalore's life and prospects.

A recent E&Y report titled “Indian Real Estate: Growth and New Destinations”, reaffirms the commonly held notion that “Bangalore’s infrastructure is under extreme stress as it has not been able to keep pace with rapid economic growth over the last decade”. In both the Infrastructure Index(6th) and Quality of Life Index(5th), Bangalore is way down in the list of 6 metros. It’s only in Social and Technological Infrastructure Indices that Bangalore is in the top three and finally manages to be a fledgling fourth in the overall rankings.

According to the report the reason why Bangalore is ranked lowest of all the metros in infrastructure index is “due to a relatively poorer road network, mediocre rail connectivity and low investment proposed for the infrastructure of the City despite the rapidly increasing demand for better infrastructural facilities”.

As if this was not enough consider this, BBMP’s proposals for upgrading roads have been delayed as the Union Government has refused funding for all road development projects planned under JNNURM on the grounds that “roads are not a priority under the mission.” The JNNURM, ofcourse, is a seven-year mission to modernise urban infrastructure in cities with funds provided jointly by the Centre, State and local corporations. Well the most important infrastructure component that BLR gets panned about, is roads and the Centre is not interested in roads, go figure.

To their credit, BMMP has lined up other options to address this issue. Bangalore gives billions of $$ (not even rupees) to the center's coffers and the center cannot help make its roads - the single most critical need of Bangalore? The other non-road JNNURM proposals are of course stalled too, because the State Government has failed to conduct elections to ULBs and establish an elected council for Bangalore.

Sources: Hindu, Deccan Herald.