Telangana Chief Minister Revanth Reddy has announced a wide-ranging probe into the deal given to a private company to collect toll on the Outer Ring Road. The order has been issued based on several demands by the opposition and former finance minister Harish Rao for transparency ahead of assembly elections. The modalities will be discussed in a cabinet meeting, and details will soon be finalized.
During a discussion on loans in the legislative, Harish Rao criticized the handling of the ORR contract. According to him, it was hasty and irresponsible. He was countered by CM Revanth Reddy, who promised to constitute a Special Investigation Team (SIT) for the examination of the issue.
Key Statements from the Chief Minister
- The ORR contract has been under scrutiny for weeks with concerns over bypassing proper procedures and tender processes.
- The ORR was first introduced when Congress was the leadership in Congress with financial assistance by JICA, by way of loan of ₹6,500 crore. The said amount was later reimbursed.
- It is alleged that when the BJP thought that it would lose the polls, they allowed the contract hastily, so a high value asset goes into the private hands.
Harish Rao again pressed for cancelling the contract and conducting a probe on this issue.
Congress Highlights Contributions to Telangana’s Development
CM Revanth Reddy said that Congress played a vital role in making Hyderabad an international city. He pointed out several projects initiated under Congress governments, such as:
- Infrastructure: Outer Ring Road construction, IT and pharmaceutical companies establishment, and uninterrupted power supply to industries.
- Water Supply: Krishna and Godavari water phases were undertaken to meet the drinking water needs of Hyderabad.
- Education and Sports: IIT and IIIT building, along with international-level sports stadiums
- Irrigation Projects: Under Jalayagnam such projects - Kalvakurthi, Koilsagar, Yellampally- which all together enhanced regional development of Telangana.
Congress under its leadership launched another Rs 35,000-crore Pranahita-Chevella project, for supplying drinking and irrigation water in entire Telangana region
Renewed Focus on ORR Lease Controversy
The Outer Ring Road lease issue, which dates back to the previous government, has now surfaced with the announcement of the SIT inquiry.
2023 Lease Agreement Details
- The Indian government leased the ORR for 30 years under the Toll Operate Transfer (TOT) scheme in April 2023.
- IRB Infra Limited won the bid by offering ₹7,380 crore and transferred the amount to the government in August 2023.
- The company took up the toll collection and road maintenance responsibilities, including lighting, security, and repairs. HMDA retained greenery maintenance at an annual cost of ₹25 crore.
Revenue and Opposition Allegations
- The ORR is 158 kilometers long, accommodating 1.3 lakh vehicles daily, and earns annual toll revenues of ₹700 crore.
- Opposition parties claim that leasing the ORR for 30 years undervalued its revenue potential and was a deal to favor personal gains.
- The officials at that time justified the move, suggesting it was akin to previous deals made with TOT arrangements for national highways.
"The deal has been done completely transparently and the long-term benefit would be huge financially," says HMDA Commissioner Arvind Kumar.
