CAG flags Rs 313.20 cr payment to Ramky

Metro India News | Hyderabad 

The Comptroller and Auditor General (CAG) has exposed serious irregularities in Hyderabad's solid waste management system, questioning the payment of Rs 313.20 crore to Ramky Enviro Engineers by the Greater Hyderabad Municipal Corporation (GHMC) without proper processing of dry waste. According to the CAG report, the company received the amount despite failing to process approximately 44.16 lakh metric tonnes of dry waste, raising serious concerns over the misuse of public funds and accountability.

The CAG conducted an audit of solid waste management in Telangana's urban local bodies for the period ending March 2023. It found that GHMC paid Ramky Rs 178.26 crore between February 18, 2012, and February 28, 2015, and another Rs 662.05 crore between March 1, 2015, and July 14, 2020, towards waste treatment and disposal. Under the agreement, Ramky was required to segregate wet and dry waste daily, convert wet waste into compost and process dry waste, including converting it into energy. However, the CAG found that Rs 313.20 crore was paid for dry waste treatment despite the required processing not being carried out.

The audit also questioned how dry waste generated between February 2012 and July 2020 could have been processed when the Waste-to-Energy plant at Jawaharnagar became operational only in August 2020. GHMC claimed that some dry waste was sent to cement and recycling industries, while the remaining waste was stored for the proposed plant. However, the CAG was dissatisfied with the explanations provided by both GHMC and the state government, concluding that the payments resulted in wasteful expenditure and undue financial benefit to the contractor.

Residents of villages surrounding the Jawaharnagar dumping yard allege that pollution is affecting nearly 40 lakh people. Gaddam Sadanandam, Co-Convenor of the Jawaharnagar Dumping Yard Removal Struggle Committee, demanded recovery of the Rs 313.20 crore and said the money could be used to provide facilities to affected residents.

Maram Sammireddy, Co-Convenor of the Dammaiguda JAC, also criticized the government's silence and urged authorities to recover the amount and address local environmental concerns. Residents and activists are now demanding accountability, scientific waste management and immediate action to protect communities around the dumping yard.