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MCD leaders decry ‘dilution of powers’ under ease-of-doing-business reforms

Official said the administration was also planning to reform the building plan sanctioning process by allowing “third-party certification”, reducing the direct role of the civic body.

Published on: Aug 27, 2025, 04:04:06 IST
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Senior elected functionaries of the Municipal Corporation of Delhi (MCD) have flagged concerns over the steady dilution of the civic body’s regulatory powers, citing reforms being implemented under the ease of doing business framework. They alleged that departments and licensing functions are gradually being taken out of the corporation’s ambit, weakening its governing authority.

A senior municipal official said that in 2012, all wider MCD roads (above 60ft width) were transferred to the Delhi PWD during the Sheila Dikshit government (HT Archive)
A senior municipal official said that in 2012, all wider MCD roads (above 60ft width) were transferred to the Delhi PWD during the Sheila Dikshit government (HT Archive)

The issue was raised during the MCD’s standing committee meeting on August 20, where committee chairperson Satya Sharma also told municipal commissioner Ashwani Kumar that at this rate “nothing will remain with the MCD” and everything will be taken away from the corporation.

Committee member and former central zone chairman Raj Pal said the removal of key departments such as the Jal Board and the slum department from MCD’s control in 1990s was a “regressive move” while criticizing the new changes. He said the corporation’s powers should instead be expanded. “DJB used to exist as a water supply and sewage department under the MCD, and it was taken away during Sahib Singh Verma’s government in the 1990s even though the board does not have enough field workers. Sewage-related complaints are still made to the corporation, as people believe sewage is under us. Similarly, the slum department was headed by an additional commissioner of MCD before DUSIB was made,” he said. Raj Pal said he had proposed in the meeting that MCD should demand that water and sewage services be brought back under its control.

According to an order issued on July 29, factory units operating in industrial areas under the new licensing regime will no longer need to obtain a separate MCD factory licence. Civic officials said a similar change is expected in the health trade licensing regime for eating houses, hotels and restaurants. Another official said the administration was also planning to reform the building plan sanctioning process by allowing “third-party certification”, reducing the direct role of the civic body.

Committee member Inderjeet Sehrawat said the trend showed a steady erosion of MCD’s role. “Earlier, electricity supply, DTC and other departments were with MCD. If everything is taken away from us, what will remain of the corporation to govern?” he said.

MCD in its current form was created through the Delhi Municipal Corporation Act of 1957 by merging 13 smaller local bodies, committees and boards, including the Delhi State Electricity Board, the Delhi Road Transport Authority and the Delhi Joint Water and Sewage Board. Over the years, these departments were separated and set up as independent entities under the Delhi government.

A senior municipal official said that in 2012, all wider MCD roads (above 60ft width) were transferred to the Delhi PWD during the Sheila Dikshit government. “The entire 1,400km arterial road network was handed over to the Delhi government. We still continue to face drainage and maintenance issues at the junction of these roads,” the official said.

A government official said that the changes are being made under the ease of doing business in the national capital and they are aimed at making Delhi more buisness friendly by reducing the multiplicity of agencies and series of licensing regimes. “DSIIDC already oversees the factories and industrial units so there was no need for additional licensing from MCD. Why should same sectors be overseen by multiple agencies,” official said.

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