The Hindu 27.11.2014
Corporation gets loan for UGD, water supply scheme works
The loan is repayable over a period of three years
The Tamil Nadu Urban Infrastructure Development Corporation Limited (TUFIDCO) has sanctioned Rs. 9.85 crore, as interest-free loan, to the Salem Corporation for executing the Mettur – Salem Dedicated Water Supply Scheme and underground drainage work.
The City Municipal Corporation is implementing the dedicated water supply scheme and the underground sewerage scheme at a cost of Rs. 320.54 crore and Rs. 149.39 crore respectively.
As per the funding pattern, the Corporation has to contribute Rs. 3.5 crore for water scheme and Rs. 7.8 crore for UGD scheme. So far, the Corporation has spent Rs. 4.4 crore for the water scheme and has to contribute the remaining Rs. 10.93 crore.
Since the Corporation was cash-strapped, it passed a resolution in September 2013 urging the government to sanction the loan under the Integrated Urban Development Mission scheme.
Based on the request, TUFIDCO sanctioned Rs. 3.05 crore for water scheme and Rs. 6.8 crore for UGD works apart from a grant of Rs. 1 crore for the UGD work. The loan is repayable over a period of three years in equal instalments and the State Quality Monitors, appointed by TUFIDCO, would monitor the progress of these schemes regularly.