The LED lighting project that is being run by the City Corporation is faced with new problems. The finance department has asked for a report from the Corporation with respect to the extra expense that needs to be made by the civic body for introducing LED lights.
This query was followed by a series of questions from the department of urban affairs with respect to the same project. The corporation has replied to questions thus posed which pertained to aspects like number of street lights, details on power tariff and if Small Industries Development Corporation (SIDCO) Limited was eligible for executing the project. This was peculiar as SIDCO is a government owned sector corporation and the government was in a way questioning itself.
According to the conditions of the project, the corporation has to make a payment of Rs 1.25 crore to SIDCO per month. The LED lights are going to be installed for Rs 64 crore and the contract is going to be maintained for 10 years. Through the project, the City Corporation will be saving crores in terms of electricity bill payment.
However, the recent query from the finance department indicates the growing displeasure among several government departments for handing over the LED project with SIDCO. As per an official from the corporation, the project has no extra expense for the corporation. As of now, the corporation is purchasing equipment as well as paying bills every month. With the LED projet coming in place, bills will come down to a significant extent.
