Rs 25,000-cr plan to develop Bangalore infrastructure

Rs 25,000-cr plan to develop Bangalore infrastructure
TIMES NEWS NETWORK

Bangalore: The state government has drawn up a master plan to develop infrastructure in Bangalore by spending Rs 25,000 crore over seven years.
This will include an elevated rail, ring roads, ring railways, underpasses, surface passes, multi-level parking lots, and efficient water supply and sewage systems.
The state will pump in two-thirds of the amount and seek the rest from the central government, according to sources.
Chief Minister B S Yeddyurappa, who met Union finance minister P Chidambaram on Monday, submitted a demand for Rs 5,000 crore. He asked him to release at least Rs 1,000 crore immediately. “Chidambaram was receptive to our plea and invited us to New Delhi for discussions,’’ Yeddyurappa told reporters. According to him, a core committee will monitor infrastructure development in the state at regular intervals. The memorandum also makes a demand that mining czars may not like — the state asked the central government to increase royalty on mineral exports.
“The miners get Rs 6,867 per tonne of exported ore while they pay a royalty of only Rs 27 per tonne. The state exported nearly 40 lakh tonnes of ore last year. In this, the state got a royalty of only 10.80 crore, while the industry earned over Rs 2,746 crore. This anomaly should be corrected and royalty increased,’’ Yeddyurappa said in the memorandum, according to sources.
The state government sought reduction of excise duty on passenger vehicles from 16% to 4%. “The present system favours cars and not buses. Reduction of duty on buses and other passenger vehicles will promote public transport,’’ the memorandum said.
Yeddyurappa also asked Chidambaram to reimburse Rs 1,750 crore the state spent on loan waiver. “Since the state’s farmers do not benefit from the central loan waiver scheme, it will not be an additional burden on the Union exchequer,’’ Yeddyurappa reasoned.
The state government also requested the Union government to reduce the interest on cooperative loans from 7% to 3%. “Last year, the central government ensured that all banks reduced the interest on farm loans to 4%. This should be continued,’’ it said.
The state government plans to hold an investors’ meet to attract more industries and investment to the state.