Noida authority losing revenue in the absence of ad policy
As per a Noida authority’s internal report, a copy of which Hindustan Times possess, the authority is losing out Rs9 crore revenue.noida Updated: Sep 17, 2017 22:27 IST
In the absence of an advertising policy, the Noida authority is losing out opportunity to earn revenue.
As per a Noida authority’s internal report, a copy of which is with Hindustan Times, the authority is losing out ₹9 crore revenue, because the authority is unable to recover adequate revenue from an advertising agency that has rights on DLF Mall of India in Sector 18, according to the authority’s internal report.
It has been alleged that engineers reduce the size of the hoarding, thereby causing a loss to the authority. It has also been alleged that the advertising agency, All About Outdoor Media Company Private Limited, is installing a giant hoarding on the mall rooftop without requisite approvals.
“Engineers reduce the total size of advertising space given to an agency thereby, the authority does not get revenue. Earlier, Noida authority chief executive officer Amit Mohan Prasad had ordered probe into it but nothing happened,” said OP Sharma, of Sector 19, who filed a complaint in this regard.
The owner of All About Outdoor Media Company Private limited, Ankur Rastogi, refused to comment on revenue and hoarding permission issue.
“We cannot allow hoarding structure on our rooftop without the Noida authority’s permission due to safety reasons. We have stopped the structure work on Saturday. The agency has applied for hoarding but is yet to get permission. They claimed they are getting the approval soon,” said a spokesperson of DLF Mall of India.
Shibli Khan, deputy general manager, mall operations, DLF Mall of India, said, “Our out-of-home media partner — All About Outdoor — is working in tandem with the relevant authorities to ensure the implementation of necessary measures to comply with health and safety regulations. They have our cooperation.”
For a wall wrap (advertising on Mall or any other building wall area) the authority charges ₹446.02 per square feet monthly, for hoarding it charges ₹216.63 per square foot monthly and for Unipole the fees is ₹283.30 square feet monthly, according to officials. “A four-member committee headed by the chief engineer conducts site inspection before issuing permission for hoarding due to safety reasons. The committee members that include traffic official, legal expert and advertising department member also inspects the site to approve hoarding site. But All About Outdoor Media company Private Limited is building structure on DLF Mall of India’s rooftop without mandatory approvals jeopardizing the visitors’ life. The authority must stop this,” said Sharma.
The Noida authority chief executive officer Alok Tandon will take action against officials responsible for the irregularities. “I will order a probe into the issue of revenue loss and putting a hoarding without permission. I will take strict action against those, who are involved in this irregularity,” said Tandon.
Sinha had set a target of ₹100 crore revenue annually from selling advertising rights. But the advertising department did not work on policy making in this regard till date. In the absence of a policy, the Noida is losing out on revenue and earning only around ₹12 crore annually.
In June, then Noida authority chairman Alok Sinha had directed officials to come up with the policy.
The government body is losing out opportunity to earn revenue because it has failed to put in place a policy of selling advertising rights on public space available across the city.