Rs 800 crore spent, still unfinished: Why Akhilesh Yadav’s ‘pet project’ in Lucknow is going private

The Uttar Pradesh Cabinet has approved a proposal to lease the Jayaprakash Narayan International Centre (JPNIC) in Lucknow to a private consortium for a period of 35 years. This decision comes after the project, initially conceived during Chief Minister Akhilesh Yadav's tenure in 2013, remained unfinished for almost a decade. The consortium, comprising Vrindavan Bottlers and Rockwood Hotels & Resorts, will be responsible for completing the pending works and operating the centre for 35 years.

The project, located adjacent to Ram Manohar Lohia Park, covers 18 acres and includes a 108-room hotel, convention center, auditorium, sports facilities, and a museum block. The consortium will handle the completion of all pending works, including interior, electrical, and fire-safety works, at its own cost. They will also manage the hotel, parking facility, convention center, auditorium, sports facilities, and museum block.

The LDA will retain control over the museum block. The consortium will pay Rs 25 crore as a performance guarantee to the LDA and Rs 10.11 crore after accepting the Letter of Acceptance. Annual payments of Rs 6 crore are expected, with a 5% escalation each year throughout the lease period. The government views this arrangement as a solution to avoid spending an estimated Rs 200-250 crore on completing the remaining works.

The move is seen as a way to address both the additional expenditure needed to finish the center and the recurring costs of maintaining and operating it.