Pollution board plans SPV to protect resources

The Maharashtra Pollution Control Board (MPCB) is planning to set up a separate company to develop and maintain environmental infrastructure in the state.

The board is considering the formation of a special purpose vehicle (SPV)to be known as the Maharashtra Environment Infrastructure Development Corporation (MEIDC) to protect the state's dwindling natural resources. MEIDC is expected to be an autonomus body under the MPCB.

The board has proposed a initial amount of Rs 5,000 crore for MEIDC. Initially, the company will be involved in setting up solid waste management and sewage treatment plants at several locations in the state, including Nagpur and Pune. The projects are expected to commence by 2007.Mumbai alone generates around 4000 metric tonne solid waste per day.

According to senior MPCB officials, the Asian Development Bank (ADB), state government and MPCB will contribute the fund.

If the state approves the move, MPCB will become the first pollution control board in the country to create such an agency. The board had given a presentation for creation of the new company to the state chief secretary, Prem Kumar in April.

Since then the department has appointed a committee comprising secretaries of environment, finance, urban development, water supply and sanitation and commissioner of Mumbai Metro Region Development Authority (MMRDA) to examine the viability of the proposal.

As the project is in formative stage, MPCB sources say that the different environment issues are still being discussed and the total infrastructure investment is yet to be finalised.

"However, there is a general acceptance of this idea at the government level which has given a boost to MPCB " officials said.

A senior official from MPCB said, "It is a kind of public-private partnership.

According to the recently passed Water Management Act, resources can be raised from the market for such project and the board has taken note of that provision."