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LMC revises budget to ₹3,392 cr; focus on sanitation, urban infra
Revised financial plan aims to strengthen essential civic services without imposing any new taxes on residents; mayor says work to begin soon
LUCKNOW After nearly a month of delay due to administrative stalemate, the Lucknow Municipal Corporation (LMC) cleared a revised budget of ₹3,392.24 crore for financial year 2025-26 during its executive committee meeting on Tuesday, prioritising upgrades in sanitation, water supply and urban infrastructure. Earlier, the rift between mayor Sushma Kharkwal and municipal commissioner Gaurav Kumar had delayed approval of proposals.
A successful meeting of the executive committee was held after differences between the authorities were addressed following the state government’s intervention. Another executive committee meeting on Tuesday paved way for the approval of the revised budget.
On November 13, the committee passed many key civic and administrative decisions after previous meetings on October 24 and 30 failed to reach a consensus.
Officials said the revised financial plan aims to strengthen essential civic services without imposing any new taxes on residents. Chaired by the mayor, the meeting at the LMC headquarters had detailed discussions on income and expenditure under Section 147 of the Municipal Corporation Act, 1959. Executive vice-president Charanjeet Gandhi, municipal commissioner Gaurav Kumar, additional municipal commissioners, departmental heads and executive members attended the meeting.
Addressing the media, the mayor said work would begin soon in a speedy manner, which would help resolve existing issues like road repair, dysfunctional streetlights, drain cleaning, and other key issues.
The executive committee approved a total proposed income of ₹3,392.24 crore and an expenditure of ₹3,391.41 crore for 2025-26. Officials said the budget was divided into three major components - revenue account, capital account and special (superior) account —allowing the corporation to channel funds into key areas of public service delivery.
On the income side, LMC projected ₹2,266.24 crore under the revenue account, which includes property tax, user charges and other municipal collections. The corporation clarified that it has not increased or introduced any new tax this year, a move likely to benefit residents already grappling with rising living costs.
The capital account is expected to generate ₹1,092 crore from central and state government-funded schemes, including the MP Fund, MLA Fund, Chief Minister Urban Development Scheme, Swachh Bharat Mission, AMRUT Mission and the 15th Finance Commission. Additionally, the special account is projected to bring in ₹34 crore, taking the total proposed income to ₹3,392.24 crore.
On the expenditure front, the revenue account will utilise ₹2,265.41 crore for core civic services such as road repairs, drain construction, park maintenance and operation of cow shelters. The capital account expenditure, estimated at ₹1,092 crore, will support government-backed infrastructure projects including work under Swachh Bharat Mission, AMRUT Mission, CM Grid Scheme, development of public facilities, construction of a shooting range and creation of new cow shelters. The special account expenditure has been fixed at ₹34 crore, bringing the total expenditure to ₹3,391.41 crore.
Officials said the near-balanced budget reflects the corporation’s attempt to manage resources efficiently while addressing public needs in rapidly expanding urban areas.
Jalkal department
During the meeting, the Jalkal (water works department) also presented its proposed budget for 2025-26, highlighting improvements planned for water supply and sewerage systems. The department emphasised that it is implementing online billing, raising new water tax demands and improving revenue recovery to ensure better service delivery.
The Jalkal budget estimates a total income of ₹460.85 crore, including ₹348.93 crore from revenue sources and ₹111.92 crore from capital grants. The department proposed a total expenditure of ₹459.39 crore, with ₹296.03 crore allocated for revenue expenses and ₹163.36 crore for capital works. With a surplus of ₹1.45 crore, the water supply department’s budget was also approved by the executive committee.
Officials said both budgets reflect the corporation’s push to strengthen infrastructure and expand services in areas that directly impact daily life - drinking water, sewerage, sanitation, roads, parks and public facilities.
Expect long-pending civic works to finally take off
Residents can now expect long-pending civic works to finally take off, with the LMC’s executive committee clearing the revised budget for 2025–26 on Tuesday. With this approval, the corporation will start diverting funds stuck under various heads to priority areas such as road repair, streetlights, drain cleaning and sanitation that directly affect daily life.
Municipal commissioner Gaurav Kumar confirmed that LMC had funds available, but they were locked under non-essential heads. “After the executive committee’s approval, we will immediately transfer the budget to important heads like road repair, streetlights and drain cleaning,” he said.
Mayor Sushma Kharkwal said: “The allocation for Pashu Chikitsa Laxman Gaushala and Kanha Upvan has been revised from ₹15 crore to ₹23 crore. Maintenance and allotment work will now proceed without delay.”
KEY ALLOCATIONS
Traffic improvement
₹3 cr allocated by LMC to ease traffic. No expenditure had been made under this head till September, but revised provision aims to speed up stalled traffic-related projects.
Model vending zones
₹10 cr earmarked to improve urban order and rehabilitation of street vendors, for maintaining model vending zones in all zones. No amount had been spent until September.
Road cutting and restoration
₹10 cr set aside to ensure quicker restoration of damaged roads as against an expenditure of around ₹3 crore till September. Departments like telecom and electricity pay LMC for road cutting.
Construction/repair of crossings, drains
₹20 cr provision to repair drains, culverts and road crossings as against zero expenditure til September. Budget for construction of new roads increased from ₹5 crore to ₹7 crore.
Public sanitation infra
₹1 cr proposed by LMC for building garbage dumps, urinals and toilets after no expenditure occurred in the first half of the year. Another ₹1.5 crore is allocated specifically for repairing existing urinals and public toilets.
Solid waste management
₹330 cr allocation by LMC to strengthen daily sanitation under packages and other services. The city spent around ₹52 crore till September 2025 on garbage disposal and waste management.
Emergency drain & sewer cleaning:
₹15 cr proposed for the health and engineering departments to address emergency drain blockages and sewer issues. No expenditure had been made earlier.
