Rs 50,00,00,000 Cuttack traffic signal project in limbo as Odisha H&UD Dept cites fund shortage

The Orissa High Court has recorded a letter from the Housing and Urban Development (H&UD) department highlighting its inability to finance Cuttack’s large-scale CCTV and traffic signal installation project.

The division bench of Justices S K Sahoo and V Narasingh further directed the state government to clarify its position on providing financial support, posting the matter for further hearing on October 23.

Budgetary Constraints

As reported by The Times of India, the project, initially estimated at Rs 45.53 crore excluding GST, was aimed at installing surveillance cameras and traffic signals across the city to enhance law enforcement, traffic management, and public safety.

A recent request from the Cuttack DCP to extend CCTV coverage to 84 additional locations pushed the total cost, including 18% GST, to Rs 53.73 crore.

In its letter dated September 17, the H&UD department stated that the Cuttack Development Authority (CDA) cannot bear the entire expense.

The department noted that surveillance and traffic signal systems fall under the home department’s purview and forwarded the file for financial sanction. The CDA confirmed it would proceed with the selected agency once funds are released.

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Project Status And Implementation

Following initial approvals, the CDA floated tenders and awarded the contract to M/s Indian Telephone Industries Ltd., Kolkata, signing the agreement on June 17.

An advance of Rs 26.86 crore from the CDA Infrastructure Development Fund has already been released, and installation work has commenced at 10 locations, covering 107 CCTV sites and 30 traffic signal points.

The court’s directive follows CDA’s repeated requests for additional funding to accommodate the DCP’s expanded surveillance proposal. The matter now awaits a formal response from the home department, which will determine whether the project can proceed without delay.