Freehold land issue holds up Smart City project in Kochi
Talks between Dubai-based Tecom and the Kerala government failed to end the stalemate over the commencement of work on Smart City Kochi.
The two-day high-level meeting, which ended here on Thursday, decided to continue with the dialogue at a later stage. It was also decided to convene a director board meeting of the joint venture company between the state government and Tecom on September 30.
The much-awaited meeting had raised a ray of hope on the prestigious IT project of the state, but the issue of freehold land was a major hurdle to arrive at an amicable solution.
Representatives of Tecom headed by Fareed Abdul Rehman, CEO, insisted on getting 12 per cent of the total land area as freehold. The government had allotted 235 acres of land near Kochi for the project, of which 132 acres has already got SEZ status.
As the land lease agreement between Tecom and the Kerala government has expired, a fresh agreement has to be signed for continuing with the Rs 1,200-crore project. Though both the state government and Tecom are ready to sign such an agreement, Tecom is insisting on including freehold land as a condition in the lease agreement. The is despite the government team led by Neela Gangadharan, chief secretary, informing that the issue could be settled once the master plan is approved.
The foundation stone for the project was laid in October 2007, but there is no sign of even a site office. The Smart City project in Malta, which was initiated along with the Kochi project, is nearing completion. Smart City Kochi promises around 100,000 potential employment opportunity for IT professionals once fully operational.