To sign MoU with a private company for taking up a garbage-to-power project near Ontimamidi

The Secunderabad Cantonment Board’s (SCB) garbage disposal woes would soon come to end as the board approved to sign a memorandum of understanding with a private company for taking up a garbage-to-power project near Ontimamidi.

Rudram Constructions and Power Private Limited (RCPPL), a private company had approached the SCB with the project proposal early this year. The company offered to pay Rs.1 lakh per month for transporting garbage to its factory at Ontimamidi on the Rajiv Rahadari about 40 kms from Secunderabad.

“Ever since the letter of intent was issued in April, RCPPL has paid Rs.6 lakh to board. As the project is now approved, MoU would be signed in a week,” said SCB Chief Executive Officer, S. Balakrishna.

Garbage disposal has been a decades-old problem for SCB. Everyday about 120 tonnes of garbage is generated in its jurisdiction and the board has been transporting the same to GHMC’s Jawaharnagar dump yard.

Maintenance costs

Towards this, the board was paying about Rs. 300 per tonne totalling to Rs.3 lakh per month to GHMC as maintenance and other costs for dumping garbage at Jawaharnagar.

But this arrangement ran into trouble after GHMC restricted SCB trucks from dumping garbage at Jawaharnagar several times. Corporation insisted on payment of Rs.700 per tonne, which amounted to nearly Rs.20 lakh per month and this was a huge financial burden on the board, said Mr. Balakrishna.

Every time, GHMC restricted SCB trucks from dumping garbage at Jawaharnagar, authorities had tough time in dumping garbage at alternate sites - Turkapally and Hasmathpet. This temporary arrangement too was opposed by local residents, citing health concerns.

Since last six months, SCB has been using its trenching yard at Bolarum to dispose the garbage. Faced with these problems, it invited tenders to dispose off its garbage and RCPPL was selected, he said. Besides aiding in scientific disposal of garbage, the tie-up with RCPPL would be beneficial to SCB.

For the first five years, SCB would collect all Municipal Solid Waste (MSW) and transport it to RCPPL’s factory. Thereafter, the company would collect all the MSW from a transit point to its factory. This apart, RCPPL would be paying Rs.1 crore as bank guarantee to board, explained the CEO.

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