Friday, February 19, 2010

NDMC Overcomes from Deficit to surplus

It seems the New Delhi Municipal Council is also on a path of financial consolidation. As compared to a deficit of Rs 185 crore last year, the civic body is expected to show slight surplus in the financial year 2010-11. It’s income budget estimates for 2010-11 is Rs 1931.81 crore while its expenditure will be Rs 1931.14 crore, likely to result in a Rs 67 lakh gain. The civic body’s income last year stood at Rs 1566.8 crore while it expenditure rose to Rs 1752.4 crore.

Presenting the NDMC’s annual budget on Wednesday, Chairperson Parimal Rai said: ‘‘We have noticed that capital expenditure has been rising over the years. It has gone up from Rs 228.81 crore in 2008-09 to Rs 605.06 crore in revised estimates for this year and is projected to increase further to Rs 704.06 crore in 2010-11. A major chunk of our expenditure is towards creating permanent assets.’’

A major source of revenue generation for NDMC in 2010-11 will be electricity which is likely to account for 31% of the total receipts. This despite the fact that the civic body hasn’t increased it revenue for 7 years. NDMC is likely to spend 30% of its funds on electricity which includes upgradation of sub-stations and investment in ‘green’ electricity.

It promises to spend 22% of the funds on road and public works projects. Residents in its area, who do not pay their outstanding electricity and water dues by March 31, will have to face disconnection of services. According to an official, they are yet to get Rs 80 crore as outstanding dues from subscribers.

Meanwhile, NDMC has already issued notices to cellular service providers who have installed towers over school buildings and hospitals. It has given them a week’s notice to remove the towers. According to NDMC, there are around 20-30 such towers in its area.

NDMC is also planning to shift focus to horticulture. After procuring a tree ambulance, NDMC is now getting a dual purpose vehicle which will double up as a tree-washer and a fire-douser.