Tuesday, September 12, 2017

GST delays Chennai’s third desalination plant

Chennai;
The floating of tender for Chennai’s third desalination plant has been delayed due to implementation of Goods and Services Tax.

The tender for 150MLD desalination plant to be set up at Nemelli was scheduled to be floated on August 31. However, it was delayed due to GST, sources said.

The desalination plant which is being funded by German agency KfW has been delayed over the price of components to be supplied for the desalination plants as it has to be reworked with the implementation of GST.

It is learnt that the tender is likely to be floated after September 15.
Similarly, a 400MLD desalination plant in Nemelli, which is financed by Japan International Cooperation Agency (JICA) is still being worked as Chennai Metro Water has to submit a revised detailed project report.
Currently, Chennai Metro Water is reliant on Minjur and Nemelli desalination plants to quench the thirst of Chennai. The two desalination plants provide 180MLD of water. During the water crisis in 2003-04, people were dependent on trains to provide them with drinking water in the absence of desalination plants.

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