NOIDA: Based on the recently (Aug 2017) available Comptroller and Auditor General (CAG) report on Delhi-Noida-Delhi (DND) flyway, the Noida RWA Federation has written to authority CEO Alok Tandon stating that the project cost of the flyway has been recovered by Noida Toll Bridge Company Ltd (NTBCL) as per CAG report, and therefore requested termination of concessionaire agreement and that DND flyway be taken over by authority. "We received a copy of the CAG report (earlier in Sept this year) wherein it has concluded that the total cost of DND flyway project has been recovered by NTBCL to a large extent and only a small amount of around Rs 15 crore remained to be recovered as on March 31, 2016. The CAG observed that for such an amount or future recurring costs/expenses incurred by NTBCL, options of revenue generation from advertising on DND and utilization of surplus land leased to NTBCL etc. should to be explored by Government/Noida Authority," said A N Dhawan, secretary general Federation of Noida Residents Welfare Associations (FONRWA).Furthermore, according to Dhawan, the CAG had observed several malpractices indulged by NTBCL with the intention of inflating the cost of the project and unjustifiable heavy overhead expenses by application of excessive rate of return. These include that the concessionaire agreement being in perpetuity, allows NTBCL to operate under the existing terms and condition with remote possibility of recovery of the total cost of project during the entire life span of the bridge of 100 years, unjustified high rate of returns provided in the agreement, selection of concessionaire without competitive bidding, unjustifiable returns before commissioning of the project, very high pre-operative expenses and more.

Source: Times of India October 07, 2017 08:15 UTC