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Tamil Nadu
No problem of funding, says Minister Waiver of 12.5 per cent service tax to be requested CHENNAI: The Union Government will take all steps to ensure the completion of the Sethusamudram ship channel project before November 2008 if the Supreme Court allows resumption of work, Union Minister of Shipping, Road Transport and Highways T.R. Baalu said here on Friday. [The Supreme Court has, by interim order, restrained the authorities from causing damage in any manner to Adam’s Bridge/“Ramar Sethu” while implementing the project.] Answering a question whether there would be delay in the wake of recent developments, Mr. Baalu told journalists that he would move the court for early resumption of work. He was optimistic about completing the project in time. Asked whether Axis Bank had stopped funding the project, he replied there was no problem on funding. He proposed to take up with the Union Finance Minister the issue of waiver of 12.5 per cent service tax on the project. To another query, the Minister said till now Rs.600 crore had been spent on the dredging operations. “Rama” factorArguing that the “Rama” factor was not raised when public hearings were held on the project and till the beginning of this year, he contended it was being done with an eye on Gujarat Assembly elections. On All India Anna Dravida Munnetra Kazhagam general secretary Jayalalithaa’s statement that the Union Ministry of Statistics and Programme Implementation had stated that 15 per cent of the project had been completed, Mr. Baalu said he did not want to comment. However, one had to ascertain the period being referred to while comparing the level of completion. For Tamil Nadu, 52 projects had been proposed, envisaging an investment of about Rs. 13,285 crore. They covered the Chennai, Egmore and Tuticorin harbours. Eighty by-passes, 303 flyovers, 66 major bridges and 53 road over bridges were proposed in the State.
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