Corporator alleges irregularities in waste processing contract

Lokmat News Network

Chhatrapati Sambhajinagar: Allegations of irregularities in the Naregaon waste processing project sparked heated discussion during the Standing Committee meeting on Monday, with corporator Rajgaurav Wankhede demanding that the remaining Rs 17 crore payment to the contractor be withheld.

The municipal corporation had received Rs 67 crore from the government for waste processing at Naregaon and had appointed contractor GNI for the work. However, Wankhede alleged that the contractor failed to carry out proper scientific processing and instead performed only superficial work.

He claimed that some waste had allegedly been dumped in farmlands and quarry pits, adding that evidence supporting the allegation was available. Despite incomplete work, the contractor had reportedly withdrawn bills worth Rs 47 crore, while waste at Harsul, Padegaon and Chikalthana remained untreated.

Wankhede raised questions regarding the quantity of waste assigned for processing, rate fixation and the role of the project management consultant (PMC). He also questioned why three PMCs were changed during the project and sought details of payments already made to the contractor.

Deputy commissioner Nandkishor Bhombe informed the committee that waste spread across 34 acres at Naregaon had accumulated since 1980. The tender process began in February 2024 and the work order was issued to a qualified contractor in October 2025. The tender also covered waste processing at Harsul, Padegaon and Chikalthana.

According to Bhombe, the contractor has processed nearly 7 lakh metric tonnes out of the 10 lakh metric tonnes assigned under the project. The processing rate was fixed at Rs 670 per metric tonne, of which the government approved Rs 550 per metric tonne, while the remaining cost was to be borne by the municipal corporation.

He further said the contractor had included 18 per cent GST in the bills. However, as GST reimbursement was reportedly not applicable in some states, Rs 17 crore remained pending.

NGT imposes Rs 7 crore penalty

During the discussion, it was also revealed that the National Green Tribunal (NGT) had imposed a Rs 7 crore penalty on the municipal corporation.

Wankhede questioned whether the penalty amount would be recovered from the contractor or borne by the civic body, but officials failed to provide a clear answer. The administration said the final decision would be taken by the municipal commissioner.

Standing Committee chairman Anil Makariye directed the administration to withhold the pending Rs 17 crore payment and present detailed clarification in the next meeting.