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The Gurugram Metropolitan Development Authority (GMDA) has suggested levying a 1% user fee in the form of a duty on real estate transfers in the areas along the Southern Peripheral Road (SPR), Gurugram.
Due to finance concerns, the SPR project has been delayed; however, according to GMDA, the full tendering procedure has been finished, and the powerful committee headed by the chief minister will award the contract shortly.
The project will leverage a variety of financial sources to cover its cost of INR 8.45 billion. According to the administration, there are 37 developing sectors along the SPR with a potential revenue of INR 3.25 billion over the course of three years.
The Gurugram Metropolitan Development Authority (GMDA) has proposed to impose a 1% user charge in the form of duty on property transfers in sectors along the road for a period of three years in an effort to raise money for the Southern Peripheral Road project, whose work is likely to be allocated soon by a powerful committee led by chief minister Manohar Lal Khattar.
There are 37 developing sectors along the SPR, according to the authority, and by levying a 1% user fee on property transfers, the authority estimates that it will be able to raise $325 crore in three years.
According to GMDA, the chief minister approved several funding methods for the comprehensive project report on March 5. The allocation of funds by the revenue department was also covered, as the body claimed in a letter.
According to officials, the SPR project will cost $845 crore and entail building eight flyovers as well as extending the road from Ghata to Kherki Daula.
Due to funding difficulties, the SPR redevelopment project has been delayed. The authority is currently attempting to resolve these challenges by using various modes of financing for the project.
According to a top GMDA official, the project’s full tendering procedure has been completed, and the chief minister’s powerful committee will shortly award the contract. “The project will be funded in a variety of ways, and its estimated cost is Rs 845 crore.
In 37 regions along the SPR, we have suggested imposing a 1% user fee on property transfers, which is expected to bring in 375 crore over the following three years. He promised that the state revenue agency would shortly receive this suggestion.
According to the SPR’s proposed upgrade plan, the 12-km road will have a primary carriageway with six lanes. It will have a green space, a cycle track, and footpaths that are three metres wide.
Source- Hindustan Times