Noida authority aims to generate Rs100 crore by selling advertising rights
Noida authority chairman Alok Sinha directed officials to come up with the policy to ensure a permanent source of revenue.noida Updated: Jul 07, 2017 22:23 IST
The Noida authority is aiming to generate a revenue of Rs100 crore from advertising rights and will soon rope in an agency to draft an advertisement policy for the city. In the absence of a policy, the Noida is losing out on revenue and earning only around Rs12 crore annually, officials said.
Noida authority chairman Alok Sinha directed officials to come up with the policy to ensure a permanent source of revenue.
“We have started the process of selecting a private agency that will help us draft the advertisement policy. We will float an expression of interest (EOI) soon to select a private agency. Once the agency is selected, it will study advertisement policies in different cities and help in coming up with an advertisement policy for the city,” said BK Singh, senior project engineer of the Noida authority.
In the past, the authority got FOBs built on build-operate-transfer basis without incurring any cost for the construction. The private agency built the FOB, maintained it and was allowed to advertise on the foot overbridge in lieu of the cost of construction. However, the authority is now planning to move away from this model.
“Except for the existing contracts, we will sell advertising rights on new FOBs as per the new policy and earn revenue,” said Singh.
The authority has decided to build 24 FOBs along major roads to ensure the safety of pedestrians. In the first phase, the authority had decided to build 13 pedestrian bridges across the city.
The advertisement policy will guide the Noida authority on charges to be levied on a private or government agency for advertising spaces in public areas.
Authority officials said they will also ask the agency to study advertisement policies in European countries.
“The private agency will study advertisement policies in three Indian cities and two cities in European countries before making a final draft of the policy. Once the policy gets ready, the authority will get it approved in its board meeting and implement the same,” said Singh.
Officials said that a lack of policy has resulted in the authority losing out on revenue from advertisements in public spaces. The policy will specify guidelines for public spaces available on foot overbridges (FOBs), roads, government buildings, unipoles and other areas.