Haryana Government has released grants of first quarter amounting to over Rs115.70 crore under share of surcharge on VAT for urban local bodies scheme for the year 2016-17.
The State Urban local Bodies Minister Kavita Jain on Wednesday said that a proposal to this effect has been approved by Chief Minister Manohar lal.
She said that the grants have been released under Rajiv Gandhi Urban Development Mission Haryana (RGUDMH). While over Rs56.69 crore have been released out of grant-in-aid general scheme, more than Rs59.01 crore have been released out of Scheduled Castes Sub-Plan (SCSP) Scheme.
All the Municipal Committees, Municipal Councils and Municipal Corporations are eligible to get funds under the Mission, she added.
The Minister said that 50 per cent of the funds would be for financing urban sanitation, cleanliness, solid waste management and other civic infrastructure component.
She said that 25 per cent of the funds would be used for viability gap funding for financing projects under PPP mode. The funding from the Mission shall not exceed 20 per cent of the total project cost as the balance project cost is expected from private partner or implementing unit. However, the project would be recommended by the State Town and Country Planning Department.
25 per cent funds shall be kept for strengthening urban infrastructure schemes as announced by Chief Minister from time to time, depending on specific needs of the city or area.
Jain said that funds have been distributed as installment of first quarter on the basis of Infrastructure Gap Index as per Census 2001.