Cuttack: The civic body has run into fresh trouble with Hyderabad-based Ramky Enviro Engineers Limited stopping garbage collection and disposal work from Sunday.

After a five-year contract with Ramky expired in April 2016, the Cuttack Municipal Corporation continued with the organisation on a monthly basis due to delays in signing contracts with another agency for implementing Solid Waste Management Project, 2016.

Sources said Ramky had since appealed to the civic body several times to make alternative arrangements on grounds that it had become inadequately equipped as its infrastructure for municipal waste collection and disposal was worn out at the end of the contract period.

Municipal commissioner Bikash Ranjan Mohapatra said Ramky finally stopped work since Sunday citing inability to continue further.

Mohapatra, however, said: "We have made an interim arrangement with a private company called BBG Agency to carry out waste collection and disposal with the municipal council's approval." He said the agency was chosen as it was the local organisation through which Ramky actually carried out its contract.

Mohapatra said reorganisation of sanitation work was planned through implementation of the Solid Waste Management Project, 2016, in a new five-year contract for garbage collection and disposal after Ramky's contract ended. "But, we have not been able to complete the process owing to legal hurdles," he said.

The civic body had started tender process for implementation of the project in August 2016. But, Orissa High Court quashed it and directed it to invite fresh bids in July 2017.

Subsequently, the municipal corporation invited fresh bids in September 2017.

A private party emerged the lowest bidder for the Rs 147.26-crore project. After the municipal council approved the tender finalisation process on December 15, it was sent to the government for approval.

But the whole process hit a road block again with the high court issuing a stay on taking a final decision on the tender process on February 12. The petition on which the interim stay order was issued is pending in court.

"The matter has been fixed for hearing on April 12. We are hoping for a positive outcome," Mohapatra said.