The National Mission for Clean Ganga (NMCG) has awarded contracts for setting up three 97 million litres daily (MLD)-capacity sewage treatment plants (STPs) on hybrid annuity model basis in first such attempt.
In a hybrid annuity model, the government pays a portion of the capital investment through construction-linked achievements made by the contractor. The remaining amount is paid through an annuity over a longer duration of 15 years to ensure the project runs smoothly.
According to the NMCG, two STPs of 68 MLD and 14 MLD will be built in Haridwar, while the other of 15 MLD will be set up in Varanasi.
"This hybrid annuity model is the first of its kind in the country's waste water management sector. The central government will completely fund the STPs construction ensuring that there is no shortage of resources for the project," the NMCG said in a statement.
The unique financial model will ensure the transparency and accountability of the running of sewage treatment infrastructure, the NMCG added that the contractors will also operate and maintain it for a period of 15 years. Thereafter it will be handed over to the local bodies.
"This will ensure that no waste water is dumped in the holy river," the statement added.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)