Development of merged villages on cards as PMRDA agrees to share 75% revenue with PMC

In a major relief for the Pune Municipal Corporation (PMC), the Pune Metropolitan Region Development Authority (PMRDA) has finally agreed to share 75% development charges with the corporation as per the state government’s earlier instructions

In a major relief for the Pune Municipal Corporation (PMC), the Pune Metropolitan Region Development Authority (PMRDA) has finally agreed to share 75% development charges with the corporation as per the state government’s earlier instructions.

In a major relief for the PMC, the PMRDA has finally agreed to share 75% development charges with the corporation as per the state government’s earlier instructions (REPRESENTATIVE IMAGE)

Municipal commissioner and administrator, Vikram Kumar, said, “As instructed by the state government, a meeting was held between PMC and PMRDA officials and during that meeting, it was decided that the PMC will get 75% share of development charges while the remaining 25% will be collected by the PMRDA.” The move is expected to help the PMC raise Rs300 crore in revenue, according to Kumar.

Back in 2017, 23 villages were merged with the PMC followed by 11 more villages being merged with the civic body in 2021. On both occasions however, the state government empowered the PMRDA to give building permissions and mop up the revenue even as the PMC was tasked only with creating infrastructure and providing basic amenities in these villages.

With land relatively cheap in these villages, they experienced a real estate boom over the past few years, leading to a rise in population on the one hand and a lack of development on the other. So much so that most merged areas continued to lack proper roads and drainage and sewage systems apart from seeing unauthorised constructions. The PMC was forced to raise the ‘revenue sharing’ issue with the state government that while it was spending money on the merged areas, the revenue was going to the PMRDA which was neither in the interest of citizens nor the PMC. The Pune district guardian minister Chandrakant Patil acknowledged the problem and promised to resolve it. On October 22, 2022, after a review of the PMRDA, Patil asked the planning authority to handover the Rs500 crores it had collected in building permissions to the PMC. “The PMRDA cannot spend the funds since the development plan (DP) of the area is not ready yet. I have asked the PMRDA to handover an amount of Rs500 crores to the PMC. The PMC on its part will add Rs250 crores while Devendra Fadnavis has also assured that the state government will give an additional Rs250 crores. An amount of Rs1,000 crores will be spent on carrying out development in the merged villages,” Patil said at the time.

Regarding the PMRDA finally agreeing to share 75% development charges with the PMC, a senior officer from the corporation on condition of anonymity said, “Maximum development is going on in the areas on the outskirts as they have vacant plots. Naturally, a lot of revenue from these areas was going to the PMRDA. Once the PMC starts getting funds, it will help erect roads, water lines, street lines and drainage in those areas.”

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List of 23 villages merged with the PMC in 2017

Mhalunge, Sus, Kirkatwadi, Pisoli, Kondhwe-Dhawade, Kopre, Nanded, Khadakwasla, Mundhwa, Manjari, Narhe, Mantarwadi, Holkarwadi, Handewadi, Wadachiwadi, Shewalewadi, Mangdewadi, Vadgaonsheri, Nandoshi, Bhilarewadi, Jambhulwadi, Gujar-Nimbalkarwadi, and Kolewadi.

List of 11 villages merged with the PMC in 2021

Uruli Devachi, Phursungi, Bavdhan Budruk, Lohegaon, Hadapsar (Sadesatra Nali), Mundhwa (Keshavnagar area), Shivane, Dhayari, Undri, Ambegaon Khurda, and Ambegaon Budruk