Belagavi's 100-Bed ESIC Hospital Project Stalled for 6 Months Despite Rs 152 Crore Grant
Belagavi ESIC Hospital Project Stalled for 6 Months

Belagavi's 100-Bed ESIC Hospital Project Stalled for 6 Months Despite Rs 152 Crore Grant

A crucial healthcare initiative for Belagavi's industrial workforce has hit significant roadblocks, with the ambitious project to construct a fully equipped 100-bed Employees' State Insurance Corporation (ESIC) hospital remaining stalled at the paperwork stage for six months after the tender process was completed.

Project Overview and Current Status

The ESIC, operating under the Union Ministry of Labour, had approved a substantial grant of approximately Rs 152 crore for this vital healthcare infrastructure project. An official order was formally issued on July 24, 2025, authorizing the demolition of the existing 50-bed hospital and staff quarters at Ashok Nagar to make way for a modern, expanded 100-bed facility at the same location.

The tender process was conducted during July-August last year, with the construction period initially fixed at 30 months. However, despite the passage of six months since the order and tender completion, there has been absolutely no visible progress on the ground. Neither demolition work has commenced nor any foundation-laying activity has taken place, raising serious concerns about project implementation.

Growing Concerns Among Beneficiaries

This prolonged delay has triggered growing dissatisfaction among ESI beneficiaries, who now fear the project might degenerate into yet another 'paper project' that exists only in official documents. Belagavi serves as a major industrial hub with extensive industrial estates in and around the city, and more than 3 lakh workers employed in factories, industrial establishments, and manufacturing units depend on medical benefits under the ESI scheme.

Adding to the urgency is the concerning fact that patient services continue to operate in the same building that has been deemed unsafe and unfit for use according to a technical report submitted by an engineering college in Tamil Nadu. The report explicitly recommended dismantling the existing structure, highlighting the critical need for the new facility.

Historical Context and Administrative Challenges

Interestingly, this is not the first attempt to move this project forward. A similar tender was floated earlier but was cancelled for undisclosed reasons. After the process was re-initiated, stakeholders expected accelerated progress, but the current slow pace has instead raised additional concerns.

As part of the comprehensive project plan, ESIC had decided to temporarily relocate the existing hospital before construction commenced. A temporary facility was planned at Yamnapur, and work there was reportedly completed. A relocation order was issued in June last year, but sources indicate the shifting process has been delayed due to multiple factors:

  • Administrative hurdles
  • Technical issues
  • Lack of coordination between departments

This delay in relocation is cited as a major contributing factor to the overall hold-up in the new hospital project, creating a domino effect of implementation challenges.

Political Response and Future Outlook

District Minister Satish Jarkiholi has acknowledged the situation, telling media outlets that he will soon convene a meeting with concerned officials to address the impasse. "It is a need of the hour," he emphasized, recognizing the critical importance of this healthcare infrastructure for Belagavi's industrial workforce.

The project's stagnation represents more than just bureaucratic delay—it directly impacts the healthcare access of hundreds of thousands of insured workers in one of Karnataka's most significant industrial regions. With the existing facility declared unsafe and the new hospital stuck in procedural limbo, the healthcare needs of Belagavi's industrial community remain inadequately addressed despite the substantial financial allocation already approved for this essential public health initiative.