MSRDC to be­gin val­u­a­tion of its as­sets; BWSL to be in­sured soon

Mum­bai-Pune Ex­press­way and cor­po­ra­tion’s fly­overs across state among projects to be val­u­ated

DNA (Daily News & Analysis) Mumbai Edition - - FRONT PAGE -

sets in­clude city roads, bridges and fly­overs owned by the MSRDC across the state, and by­pass roads. Val­u­a­tion will also be done for the cor­po­ra­tion’s rail over­bridges, sub­ways, toll col­lec­tion sys­tems, res­i­den­tial and com­mer­cial premises, com­put­ers and other fur­ni­ture and fix­tures.

Once cov­ered by in­sur­ance, the MSRDC can make claims for the dam­ages that may oc­cur to both projects due to un­avoid­able cir­cum­stances such as a nat­u­ral dis- aster or ter­ror­ist at­tack.

The in­sur­ing of in­fra­struc­ture projects is not new and has been a prac­tice for a long time. In­sur­ance also pro­vides cover against third­party li­a­bil­ity risks. How­ever, cur­rently, none of the projects of MSRDC — in­clud­ing the state’s toll col­lec­tion booths and fly­overs — are cov­ered by in­sur­ance.

An of­fi­cial from MSRDC, on the con­di­tion of anonymity, said, “The fact that none of our iconic in­fra­struc­tures are cov­ered by in­sur­ance is partly be­cause of the cor­po­ra­tion’s fi­nan­cial con­di­tion. As of to­day, our out­stand­ing debt would be some­where around Rs 4,000 crore.”

The of­fi­cial added, “Many are ques­tion­ing why we are go­ing for in­sur­ance now, con­sid­er­ing the fi­nan­cial con­di­tion is not good. It is only be­cause the top po­lit­i­cal and bu­reau­cratic au­thor­i­ties are afraid of fac­ing flak. The devel­op­ment also comes in the back­drop of the state gov­ern­ment send­ing man­ag­ing di­rec­tor Rad­heshyam Mopal­war on forced leave after op­po­si­tion par­ties al­leged fi­nan­cial ir­reg­u­lar­i­ties.”

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