Rs 400 cr for rural development
Tribune News Service

Shimla, September 19
The Centre has agreed to release Rs 400 crore for the implementation
of various rural development projects in the state during the current
financial year.

Minister of Public Works Department Gulab Singh met union rural
development minister Raghuvansh Prasad Singh in New Delhi today.
Gulab Singh took the matter with Raghuvansh Prasad.

The amount will be sanctioned under the Bharat Nirman Programme and
the Prime Minister Gramin Sadak Yojna (PMGSY) for undertaking various
road development projects to connect additional 300 panchayats of the
state.

Gulab Singh said the Centre had sanctioned the first instalment of Rs
75 crore to the state and the remaining amount would be released to
the state shortly.

He said the union minister told that due to tough geographical
conditions, heavy snowfall in the tribal areas in the winters and
limited working season it was necessary to expedite work for
achieving the targets.

The minister requested him that the time limit for completing the
works under the PMGSY would be extended from the present 18 months in
view of various climatic and geographic conditions prevailing in the
state.

The minister also urged the union minister to allow cost escalation
in the ongoing rural development projects in view of the increase in
the prices of construction material.

He informed him that the Centre had agreed to allow the cost
differential due to escalation in prices of basic materials up to 75
days from the date of sanction of DPR's (detailed project reports)
for the year 2007-2008.