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Govt gives MCD 5.5 pc of its earnings

The Government of NCT has given the Municipal Corporation of Delhi Rs 143 crore in recognition of several policy related reforms made by the civic agency.

Rs 143-cr cheque handed over; Third Finance Commission had asked Delhi to pay MCD for upkeep

The Government of NCT has given the Municipal Corporation of Delhi (MCD) Rs 143 crore in recognition of several policy related reforms made by the civic agency. The government is supposed to give the MCD 5.5 per cent of its earnings as funds for the upkeep for the city. For the last four years,when the order was first passed by the Third Finance Commission,the government has been paying only 4 per cent.

The extra Rs 143 crore paid this year made up the remaining 1.5 per cent,taking the total to 5.5 per cent for the first time.

MCD Leader of House Subhash Arya and Standing Committee chairman Yogender Chandolia confirmed the receipt of a Rs 143-crore cheque,on Tuesday.

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Claiming it as a major achievement for BJP-led MCD,Chandolia and Arya said the BJP has carried out many reforms during the previous years and many more are in the pipeline.

They said the major areas of municipal reforms are e-governance,e-initiative,introduction of biometric system of attendance,reforms in property tax system,financial reforms,budgetary reforms,revenue reforms,reforms in the field of advertisement,toll tax and parking.

“E-governance in the MCD is being implemented with the overall objective to make the civic agency sensitive,transparent,responsive and accountable to the citizens by making use of rapid advances in information and communication technologies,” said Arya.


“The MCD has also increased its revenue in the field of advertising,parking and property tax. It was a good year for the MCD and now even the Government of NCT has not been able to ignore it,” said Chandolia.

Arya added that they will demand more money from the Delhi government as the Finance Commission had also made a provision that if MCD makes reforms,they are entitled to another 1.5 per cent of the global share.

Remunerative Project dept sees 100-per cent hike in revenue
After introducing reforms in its parking policies,the Municipal Corporation of Delhi (MCD) managed to see a 100-per cent hike in revenue generated by the Remunerative Project department in the financial year ending March 31. Compared to Rs 61.13 crore earned in 2009-2010,the department earned Rs 122.08 crore this year. According to MCD officials,the increase in revenue was probably due to the centralisation of parking-related work at the headquarters level. Earlier,parking was was done at the zonal level. The number of parking sites under MCD increased from 116 to 191 after the reform,and the civic body is currently working towards converting more illegal parking sites into MCD parking sites.

First published on: 06-04-2011 at 02:11:39 am
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