MCG panel to review system of collecting user charges in Gurugram

MCG said there was a need for a robust and transparent user charge collection system to ensure better service delivery and financial accountability

The Municipal Corporation of Gurugram (MCG) constituted a four-member committee on Monday to review and improve the current provisions for the collection of user charges from property owners and waste generators, officials said on Wednesday.

MCG officials said that the committee will provide comprehensive suggestions and recommendations for developing a mechanism for MCG to collect user charges independently. (Parveen Kumar/HT Photo)

MCG officials said that the committee will provide comprehensive suggestions and recommendations for developing a mechanism for MCG to collect user charges independently.

“The committee will present its findings and recommendations within five working days, addressing issues raised during the meeting held on July 7. The committee’s formation comes in the wake of concerns regarding the efficiency and transparency of the existing user charge collection process,” said MCG joint commissioner Naresh Kumar.

Currently, a private agency, Bimlraj Outsourcing private limited, has been engaged by MCG to collect door-to-door municipal solid waste across all four zones under its jurisdiction. This agency is also responsible for collecting user charges for these services directly from property owners and waste generators. According to the work orders allotted, the agency is required to remit 46% of the total collected user charges from Zones 1 and 2 and 48.51% from Zones 3 and 4 to MCG, said officials.

However, certain areas such as Sirhaul and Sukhrali have illegal vendors who are collecting waste and overcharging residents. MCG believes the new model will curb this menace.

MCG commissioner Narhari Singh Bangar said there was a need for a robust and transparent user charge collection system to ensure better service delivery and financial accountability. “The committee will examine the present provisions and suggest improvements to develop a mechanism for MCG to collect user charges at its level, thereby enhancing the overall efficiency of the waste management system in Gurugram. The committee will submit the report no later than July 22,” he said.

Revenue sharing model proposed

According to officials, the committee has proposed integrating user charges for garbage collection into the NDC portal or property tax to streamline revenue collection. This approach is expected to boost MCG’s revenue significantly by ensuring direct payments to waste collection agencies and enhancing financial stability, officials added.

MCG officials said that the revenue-sharing model, once implemented, will not only address the financial burden on the municipality but also place accountability on the waste collection agencies. This dual benefit ensures better service delivery and a cleaner environment, officials said. The revenue model ensures residents will only pay the notified charges, eliminating complaints of overcharging, they said.

Kumar said that if the private agency does not perform, then penalties will be imposed on them. With approximately 650,000 registered property IDs, the proposed revenue model is expected to bring in financial gains for MCG.