Ramky wants to wind up operations in Chennai
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The blame game between the Chennai corporation and Ramky Enviro Engineers has intensified and the city is all set to stink as the private firm plans to wind up its operations.
Soaring fuel price, labour cost and penalties imposed by the corporation have led to a loss of over Rs 10 crore and the management has informed the Chennai unit to handle the issue or scale down the operations. Close to 25 per cent of payments are now pending, admit Ramky sources.
Even during a recent flash strike by employees, the demands of the workers were met and as on date about 5,400 employees are on service and the number of bins has been enhanced despite penalties and pay cut by the corporation.
With the input costs soaring resulting in loss, the management is also thinking about an early exit. “What is paid to us is just peanuts and we are not able to run the show.
The corporation agreed to pay around Rs 1,400 per tonne of waste collect but for a few days the payments after deductions and penalties is not even ` 800 per tonne,” lamented a Ramky official.
“As per contract terms, penalties are levied and the idea of penalising is to improve the Ramky’s operation which has not been up to the satisfactory level”, said Chennai corporation commissioner D. Karthikeyan.
“There have been cases where private firms would collect debris along with the garbage and this would enhance the daily collected tonnage weight of the waste resulting to additional expenditure to the civic body.
After the recent drive and suspension of a few corporation officials at the dumping yard and transfer stations the garbage weighing is now under scanner”, quipped a senior corporation official.
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