BMC lists slew of measures to improve revenue generation
MUMBAI: With a massive shortfall in revenue and mounting expenses, the Brihanmumbai Municipal Corporation (BMC), the country's richest civic body, is desperately looking at ways to increase its sources of income and curtail expenditure.
As part of its budget document presented on Wednesday, the BMC chief Iqbal Singh Chahal has listed a slew of measures to generate revenue and to collect the pending ones. According to the budget document presented on Wednesday, the Capital Expenditure which was 5432.24 crore in the year 2018-19, has increased to 10903.58 crore in the year 2020-21. Meanwhile, within a short span of two years, there is a significant rise in the Capital Expenditure of the civic body. An increase to 18750.99 crore is estimated in the year 2021-22.
"Capital Expenditure of the BMC has increased. However, it will not be sustainable unless revenue collection /generation is improved and new sources of revenue are added," Chahal said.
The overall budget estimates of the revenue income for the financial year 2020-21 was 28448.30 crore, which is revised to 22572.13 crore, a reduction by 5876.17 crore. The Budget Estimates for the financial year 2021-22 for revenue income is proposed to be 27811.57 crore, 636.73 crore less than Budget Estimates of 2020-21.
The major sources of revenue for the year 2021-22 are Grant-in-aid on account of compensation from the state government in lieu of Octroi 10583.08 crore, income from Property tax 7000 crore, income from D.P. Department 2000 crore, income from interest on investments 975.56 crore, income from Water & Sewerage Charges 1598.08 crore.