The Delhi Cabinet on Tuesday approved the release of Rs 374 crore to the three Municipal Corporations of Delhi as one time exemption for the financial year 2015-16 so that the employees of these corporations do not face financial hardships.
The Cabinet approved Rs 145.30 crore for North MCD, Rs 110.70 crore for East MCD and Rs 118 crore for South MCD. However, calling it a “small share”, the three municipal corporations said the Delhi Government is yet to give them a larger pending share.
The Cabinet accepted the formula worked out by the Urban Development Department for allocation of MRF share to the three corporations, since strictly on the basis of the recommendations of the Finance Commission two of the three corporations — North and East — do not qualify to get any allocation of the MRF.
According to the Delhi Government, the allocation share was decided by giving 50 per cent weightage to population, 25 per cent to area and remaining 25 per cent to population density for each of the three corporations.
North MCD Mayor Sanjeev Nayyar said, “It is good that they have sent a share of money. But what they are yet to give is a much larger share. We appreciate the Delhi Government’s move but they haven’t yet paid us a major chunk. North MCD cannot run with just Rs 145.30 crore. It has many schools and hospitals under it and thus we need more money for that.”
According to the Delhi Government, before trifurcation, during the Financial year 2009-10 an amount of Rs 3 crore was released to unified Municipal Corporation of Delhi with the concurrence of Finance Department, Government of NCT of Delhi.
Criticising the allotment of MRF fund, South Mayor Shyam Sharma said, “We need the amount of non-plan fund which we haven’t received for the past two years. This amount is quite small in comparison.”
“In the year 2010-11, an amount of Rs 143.00 crore was released. No funds under Municipal Reform Fund were released during the year 2008-09 and 2011-12. After trifurcation, in the year 2012-13 an amount of Rs 150 crore was released to three DMCs as an interim measure, and it was adjusted against repayment of outstanding Ways and Means of loan of three DMCs in the same financial year,” the Delhi Government said.