₹3,780-cr TMC budget hikes water tax

Thane Municipal Corporation (TMC) on Wednesday presented a budget estimate of ₹3,780 crore for the year 2020-2021, which is ₹81 crore less than the previous fiscal

Published on: Mar 12, 2020, 24:48:08 IST

By Anonymous, Thane

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Thane Municipal Corporation (TMC) on Wednesday presented a budget estimate of ₹3,780 crore for the year 2020-2021, which is ₹81 crore less than the previous fiscal year. The increase in liabilities because of unfinished projects and the slowdown in real estate market were the reasons cited for the ₹150 crore setback on the town planning revenue.

As TMC chief Sanjeev Jaiswal relinquished his post last week, the budget was presented by acting civic chief Rajendra Ahivar — the first budget presented by an acting commissioner in the history of TMC.

TMC claimed to have improved its revenue collection for 2019-20 and achieved about 83% of its target. The revenue generated this year is ₹3,122.78 crore against the target of ₹3,750 crore. This has also increased compared to ₹2,733.45 crore collected in the previous fiscal year.

The budget will pinch residents’ pockets as it has increased water tax by 50% for all commercial, residential and slums.

Ahivar said, “We have installed over 40,000 new water meters this year. Another 1.13 lakh new connections are to be installed. The revenue collected in water bills are not sufficient to cover expenses. We have not increased taxes since 2012 and so this massive increase.”

TMC has a liability of ₹3,300 crore owing to various projects. “As the projects near completion, liabilities will also come down. In the past few years, we have taken up many projects — some of which are unfinished and others still on paper. Once the projects are completed and the dues cleared, the liabilities will come down,” said Ahivar.

The budget estimate is less this year compared to the previous year. “Due to the slowdown in real estate market, revenue collection of town planning department was less. Our focus is on completing pending projects, so the budget is less than the previous year,” Ahivar said.

With no announcement of new projects, TMC said the budget aims at achieving sustainable development goals and has set 17 parameters on education, health, infrastructure, poverty, clean drinking water and pollution among others.

Ahivar said, “The first phase of central park in Kolshet is nearing completion. The gymnastic centre and sports complex at Pokhran Road number 2 worth ₹25crore is ready. Haj house to be built at Mumbra was proposed last year. TMC has kept ₹3 crore for Haj House.”

TMC aims at completing some of the big projects including waterfront development project, theme parks, road widening, integrated nullah development project, underground sewage lines, third Kalwa bridge, second Station Area Traffic Improvement Scheme at Kopri and grade separators at Teen Hath Naka in three years to decrease liabilities. “For this, ₹11 crore will be allotted each year. Last year, TMC had taken a loan of ₹500 crore for the projects,” he said.

TMC has got approval for the first six clusters under the cluster scheme. Around ₹3 crore has been allocated to build transit camps to rehabilitate people before redevelopment.

TMC has allotted ₹25 lakh for the Atal Tinkering Lab, a programme run by Atal Innovation Mission. “This will help build an interest for design, technological aspects and computerization among students of Class 9 and 10. A football team will be built to train students of civic schools; around ₹ 25 lakh has been allocated for this. Teachers will be trained and tested for their competence and ₹50 lakh has been set aside,” said Ahivar.

A total of ₹125 crore has been allotted for development of roads, ₹80crore for repair work and ₹60 crore for concretisation of roads. Around 377.63km-long network of roads has been built in the past five years and 233.23km have been concretised.

Light Rail Transit

The 29-km internal Metro project of Thane Municipal Corporation was scrapped by the central government, which had said the corporation should instead opt for Light Rail Transit (LRT). Ahivar said, “We have accordingly prepared a new detailed project report for the LRT. A budget allocation of Rs25 crore is made for the project.”

Water management

TMC has allotted a budget of ₹700 crore for solid waste management and infra projects. With the high court order to close the dump yard at Diva, TMC has to focus on fast tracking waste-to-energy projects.

(Inputs from Priyanka Dhomse)

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