Poor DPR For Sewerage Projects In Odisha Cities Led To Loss Of Rs 3,045 Cr, Says CAG

Bhubaneswar: Deficiencies in preparation of Detailed Project Report (DPR) for sewerage projects in municipal corporation areas of Odisha led to avoidable expenditure of Rs 3,045.44 crore, said a report of the Comptroller and Auditor General of India (CAG).

The CAG report on “Storm water drainage and sewerage management systems in municipal corporations for the year ended March 2022” was tabled in the Assembly on Saturday.

The report stated that due to absence of regulatory framework for management of storm water drainage, Odisha Government and Urban Local Bodies (ULBs) failed to comply with the National Disaster Management guidelines, which led to water logging and urban flooding.

It also found that significant measures to recharge ground water were not taken by municipal corporations despite depletion in ground water level while rapid urbanisation impacted land use pattern of the cities, mostly on drains/nallahs.

At the same time, the municipal corporations did not prepare the master plan for storm water drainage management in cities, leading to water logging and urban flooding. Adequate safety to commuters by covering the drains with slabs was also not provided.

Pollutant levels in tanks connected to Kuakhai river that supply drinking water to Bhubaneswar city were higher than the permissible level. Similarly, the Daya West irrigation canal was virtually converted to a sewage waste drain and the contaminated water was being supplied for irrigation of 835 ha of agricultural land downstream.

The audit found that spending on storm water drainage and sewerage management had been minimal. Further, non-levy of cess and non-collection of user charges contributed to lower revenue generation of MCs. Followings are highlights of the CAG report:

• Under utilisation of funds for storm water drain and sewerage management by Municipal Corporations/ Odisha Water Supply and Sewerage Board due to absence of master plans.
• Exemption of GST and Service Tax for consultancy services, led to excess expenditure of 30.11 crore from the State exchequer.
• Municipal Corporations did not collect storm water drainage and sewerage charges from public, causing poor own revenue generation capacity to attain self-sustainability.
• Due to non-achievement of service level benchmarks and non-preparation of annual accounts, Urban Local Bodies did not get the central assistance of ₹333.58 crore under 14th Finance Commission grant.