MCG to cut 10% from pvt firm’s fee for legacy waste processing

Gurgaon: MCG has decided to deduct 10% of the payment paid to its solid waste management concessionaire Ecogreen every month. The amount will be retained in the escrow account maintained for the payment.
According to officials, MCG pays nearly Rs 6 crore each month to the private firm for waste management of Gurgaon and Faridabad.
The decision has been taken after the department of urban local bodies (ULB) issued directions to MCG to float tenders for waste processing at Bandhwari at the risk and cost of Ecogreen, which means Ecogreen will have to bear the cost of waste processing. “It has been decided to retain 10% of the payable amount of the monthly bill in an escrow account being maintained for projects by M/s Ecogreen, Municipal Corporation of Gurgaon and Municipal Corporation of Faridabad. MCG, however, will abide by the final outcome in the case,” a letter recently sent by the MCG commissioner to Ecogreen states.
“We have resumed the work of waste processing at Bandhwari on the directions of the ULB department. The department had directed us to float tenders at the risk and cost of Ecogreen. In order to recover this amount, we have decided to retain 10% of the monthly payment in the escrow account. We will retain around Rs 60 lakh every month from the payment,” said Anil Mehta, MCG consultant engineer (Swachh Bharat Mission).
The ULB department on January 14 earlier this year stalled the tendering process for Bandhwari saying MCG had not taken administrative approval for the tenders. The National Green Tribunal has set a deadline of July 2022 for MCG to clear legacy waste from the landfill, where around 35 lakh tonnes of waste has been dumped. An additional 2,000 tonnes of waste is transported every day to Bandhwari.
“The matter is sub-judice and we will seek legal opinion on this. It is not under Ecogreen’s purview to process legacy waste,” said Sanjay Sharma, deputy CEO of Ecogreen.
Environmentalists, meanwhile, said the private firm must be penalised for causing damage to the environment as well. “The payment done to multiple agencies for waste processing should not be done with the taxpayers’ money when such a hefty amount is already paid every month to Ecogreen. MCG is paying crores every month to Ecogreen just for door-to-door collection and transportation of waste to Bandhwari. It could have got a local vendor to do the job at a nominal rate. MCG should also charge an additional 5% to fix the environmental damage done by Ecogreen. The leachate spill after rains should also come under Ecogreen’s purview,” said Vaishali Rana Chandra, a city-based environmentalist.
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