Nagpur: The city’s garbage disposal contractor Kanak Resources Management Limited (KRML) will continue to lift garbage from individual houses till February 2019. The decision was taken in a joint meeting of both Nagpur Municipal Corporation and KRML officials convened by municipal commissioner Virendra Singh on Monday.
On April 20, the KRML had served a notice to NMC informing that it will not lift garbage from June 1 as its 10-year contract ends on May 31. It cited two conditions for its decision — revision of lifting charges and waiving off Rs24.60 crore fine.
The meeting was attended by additional municipal commissioner Ravindra Kumbhare, health officer (sanitation) Dr Pradip Dasarwar and KRML’s project manager Kamlesh Sharma.
Referring to a standing committee’s decision in 2014, Dasarwar said the firm will have to continue to lift the garbage till February 15, 2019.
Singh rejected KRML’s request to revise the rates. However, the civic administration accepted the private firm’s offer to revise the dearness allowance of its workforce subject to clearance from the standing committee.
The firm also urged the civic chief to ensure timely release of payments every month as any delay hits payment of salaries. Singh rejected KRML’s request to waive off the penalty.
The NMC had issued a notice on August 1 last year to recover Rs24.60 crore against excess payment to KRML. As per the original agreement, the contractor had received Rs184.60 crore from NMC against the agreed payment of Rs154.90 crore till March 2017.
“Sharma tried to convince that the KRML had done all calculations and payments as per agreed terms and conditions. He also threatened to approach the court against the civic body’s decision,” a senior official said.
It has been decided that the NMC will deduct Rs24.60 crore from the firm in instalments of over Rs1.23 crore per month.
Nagpur Municipal Corporation have started dry and wet garbage collection in Nagpur