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Chandigarh, February 20:
Chandigarh Smart City Limited (CSCL) is set to officially shut down on March 20 due to the lack of further financial support from the central government. As a result, all employees have been issued termination notices, effective March 31. Additionally, a comprehensive plan has been prepared to transfer all ongoing projects under the Smart City initiative to the municipal corporation and the administration. With this decision, Chandigarh becomes the first city in the country where the Smart City Limited is being closed.
Decision Taken in Board Meeting
A board of directors meeting was held on Wednesday under the chairmanship of Chief Secretary Rajeev Verma. The meeting focused on reviewing ongoing projects, their current status, pending tasks, and the process of transferring responsibilities to various departments after CSCL’s closure.
According to officials, a total of ₹853 crore has been spent on 36 projects, with ₹53 crore still pending as operational expenses. The breakdown of expenses includes:
- Sewage Treatment Plant: ₹304 crore
- ICCC and SCADA Project: ₹334 crore
- Public Bike Sharing System: ₹20 crore
- Smart School Project: ₹9 crore
- 24×7 Water Supply Project: ₹166 crore
- Other Ancillary Projects: Remaining amount
Pending Project to Be Completed by February 28
A waste disposal plant for dead animals, costing around ₹2 crore, was planned in Raipur Kalan but remains incomplete. During the meeting, the chief secretary instructed officials to ensure the project’s completion by February 28.
Additionally, instructions were given to finalize a report on CSCL’s closure before March 20. However, if any financial assistance or directive is received from the central government before then, further decisions will be considered.
Employees Seek Job Security, Approach Mayor
Approximately 90 employees working across various CSCL projects have received termination notices, with 44 of them engaged in the 24×7 water supply project.
On Wednesday, these employees met with Mayor Harpreet Kaur Babla, requesting that they not be left unemployed and be accommodated in municipal corporation departments. The mayor assured them that she had discussed the matter with the commissioner and that a detailed discussion would take place on Thursday.
₹100 Crore Financial Burden on Municipal Corporation
With most Smart City projects being transferred to the municipal corporation, their maintenance and management will pose a significant challenge.
The municipal corporation is already facing financial difficulties. Currently, ₹53 crore remains available for the operation and maintenance of Smart City projects until 2027. However, once this period ends, the financial burden of around ₹100 crore will fall entirely on the municipal corporation.
Municipal Commissioner Amit Kumar also highlighted this issue during a corporation meeting, emphasizing the long-term impact this decision will have on the administration.
