We are positive about renewal of contract

We are positive about renewal of contract

Senthalir S



With the five-year contract for Brigade Road's automated parking system between Bruhat Bangalore Mahanagara Palike (BBMP) and Brigade Road Shops and Establishments Association coming to an end on Monday, the association is hopeful that the contract will be renewed. Association secretary Suhail Yusuff spoke to Senthalir S on the issue.

What is the status of the automated parking system now?
We have stopped collecting parking fees since June 22. We had applied for the renewal of the contract on June 19. We are now awaiting BBMP's response. If this continues, there is going to be a complete chaos. The vehicles will be parked haphazardly and even business would be affected because of this.
Do you see a bureaucratic goof-up in the renewal of contract?
The BoT (Build operate and transfer) agreement on automated parking system was there for two years (since June 21, 2006). If we don't break even, then the contract would be extended to five years. But we could renew it up to five years. Even before the two year term was completed, we had applied for renewal on May 12, 2006 and received acknowledgment letter on May 16, 2006. After the two-year term was over, we had applied for the renewal of licence and got a reply from the BBMP 10 months later, stating that they will hold a meeting to decide the same. But no one appeared for the meeting. On 24 November, 2008, we had sent a letter to add another innovation to the automated parking system, which is the parking info system. In that, we had mentioned that we have successfully completed our four-year term. But the BBMP has collected the revenue from us but there was no letter mentioning the renewal or cancellation of the contract. So we continued to collect parking fees.

Why do you think there is a delay in renewing the contract?
The file has not yet reached the commissioner. The commissioner has promised us that after the field study, he would get back to us. We are positive about the contract being renewed.

What about the revenue generation? What will happen if the renewal is delayed?
There are 85 bays of parking and the annual revenue generation was about Rs24 lakh. This model of automated parking system has been adopted by Colombo. A delegation from Sri Lanka had visited this place to adopt it in their country. The revenue was shared on a 50:50 basis. At least, 1,600 vehicles would park and move out every day in the 85 bays. If the contract is not renewed at the earliest, the business would be affected badly in Brigade Road.