Gudiyattam Gudiyattam Town - Municipal

More documents

Recommendations

Info

Chapter ñ14 Final Report: Gudiyattam Municipality 14.8 SCENARIO I -ESTIMATION OF INVESTMENT CAPACITY ON AS IS WHERE BASIS We carried out the exercise of arriving at the Investment and Borrowing Capacity on as is where basis without any financial reforms being carried out and no new projects taken in to consideration. The borrowing capacity has been arrived by taking the NPV over the next 20 years on the minimum of the following : 30% of revenue projections Primary Operating Surplus (Surplus before Interest & Depreciation) The investment capacity has been arrived @ of 4 times the borrowing capacity assuming that loans constitute 25% of total investment requirement. In such a scenario, the Investment and Borrowing Capacity works out as below : Summary of Borrowing and Investment Capacity Borrowing Capacity Rs. 993.35 lacs Investment Capacity (BC x 4 times) Rs. 3973.40 lacs 14.9 SCENARIO I I-ESTIMATION OF BORROWING AND INVESTMENT CAPACITY WITH METTUR CWSS In Scenario II, the financial projections have been worked out for the next 30 years, by taking all projects in to consideration including Metur CWSS. It has been assumed that Metur CWSS would be funded by way of 100% Grant and executed in VI & VII years. The operation & maintenance of Metur CWSS would be fully borne by the Municipality. The financial projections for the next 20 years have been taken to arrive at the Borrowing and Investment capacity. We have arrived at the borrowing capacity of Gudiyatham Municipality on the minimum of the following : 30% of revenue projections 50% of Primary Operating Surplus less Debt Service The overall financing mix has been arrived to include 26% Loans, 65% Grants and 9% own funds. The repayment period of loans has been taken at 5+15 years for Sewerage and Water Supply Loans and 2+8 years for other project loans. The above factors have been taken in to account for arriving at the Annuity Factor, which has been applied on the lowest of the above to arrive at the overall borrowing capacity and investment capacity. Summary of Borrowing and Investment Capacity Borrowing Capacity - Investment Capacity (BC/0.26) - - 163 - Voyants Solutions Private Limited
Chapter ñ14 Final Report: Gudiyattam Municipality Investment Requirement Rs. 16433.67 lacs Sustainable Investment Capacity % - IC / IR -ve At an aggregate level, assuming loans to be equivalent to 26% of investment, sustainable investment capacity works out to Nil. 14.10 SCENARIO III-ESTIMATION OF BORROWING AND INVESTMENT CAPACITY WITHOUT METTUR CWSS In Scenario III, we carried out the exercise of arriving at the Investment and Borrowing Capacity of Gudiyatham Municipality without Metur CWSS project. In this scenario it is assumed that the entire capital cost and O&M of Metur CWSS would be supported by the Government. Thus both the capital cost and O&M cost would be received as 100% Grant by the Municipality. In such a scenario, the Investment and Borrowing Capacity works out as below : Summary of Borrowing and Investment Capacity Borrowing Capacity - Investment Capacity (BC/0.26) - Investment Requirement Rs. 16433.67 lacs Sustainable Investment Capacity % - IC / IR -ve It may be observed that the investment capacity continues to be Nil even if the entire O&M cost of Metur CWSS is fully supported by the Government. Thus it can be inferred that the Municipality is not in a position to bear the operation & maintenance expenses and interest cost of major projects like water supply improvements and underground sewerage resulting in negative investment capacity. 14.11 KEY INDICATORS OF SCENARIO II (FULL PROJECT SCENARIO WITH METTUR CWSS) The key Indictors of the Municipality based on the financial projections works out as below : Existing (2001-02 to 2006-07) Minimum Maximum Average Operating Ratio 0.74 1.03 0.88 Debt Service Ratio 0% 16% 11% Category 1 Short Term (2009-10 to 2013- 14) - 164 - Voyants Solutions Private Limited
Page 1 and 2:
SEPTEMBER 2 0 0 9 S S T A G E ññ
Page 3 and 4:
SWOT Analysis for Gudiyattam Munici
Page 5 and 6:
5. PROPOSED REFORMS The proposed ma
Page 7 and 8:
B Social Infrastructure Facilities
Page 9 and 10:
- ii - Final Report: Gudiyattam Mun
Page 11 and 12:
99 - iv - Final Report: Gudiyattam
Page 13 and 14:
- vi - Final Report: Gudiyattam Mun
Page 15 and 16:
LIST OF TABLES - viii - Final Repor
Page 17 and 18:
- x - Final Report: Gudiyattam Muni
Page 19 and 20:
Chapter ñ 1 Final Report: Gudiyatt
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Chapter ñ2 Final Report: Gudiyatta
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Page 33 and 34:
Page 35 and 36:
Page 37 and 38:
Page 39 and 40:
Page 41 and 42:
Page 43 and 44:
Page 45 and 46:
Page 47 and 48:
Page 49 and 50:
Page 51 and 52:
Page 53 and 54:
Page 55 and 56:
Chapter ñ 8 Final Report: Gudiyath
Page 57 and 58:
Page 59 and 60:
Page 61 and 62:
Page 63 and 64:
Page 65 and 66:
Page 67 and 68:
Page 69 and 70:
Page 71 and 72:
Page 73 and 74:
Page 75 and 76:
Page 77 and 78:
Page 79 and 80:
Page 81 and 82:
Page 83 and 84:
Page 85 and 86:
Page 87 and 88:
Page 89 and 90:
Page 91 and 92:
Page 93 and 94:
Page 95 and 96:
Page 97 and 98:
Chapter ñ10 Final Report: Gudiyatt
Page 99 and 100:
Page 101 and 102:
Page 103 and 104:
Page 105 and 106:
Page 107 and 108:
Page 109 and 110:
Page 111 and 112:
Page 113 and 114:
Page 115 and 116:
Page 117 and 118:
Page 119 and 120: Chapter ñ12 Final Report: Gudiyatt
Page 169: Chapter ñ14 Final Report: Gudiyatt
Page 175 and 176: Annexure Final Report: Gudiyattam M
Page 211: Annexure Final Report: Gudiyattam M
show all

Gudiyattam Gudiyattam Town - Municipal

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?