 "Maha civic bodies to raise funds for smart city projects")
After initial reluctance, ten municipal corporations in Maharashtra, that submitted Smart City proposals to the Centre on Tuesday, unanimously opposed tax increase or the imposition of new tax to finance various projects.
However, these civic bodies in their respective proposals have proposed that the mobilisation of necessary fund through multiple instruments including increase in floor space index, exploitation of land and bilateral and multilateral institutions.
Further, they have signaled that they are against the dilution of powers of the general body or the municipal corporation in general and argued that the role of private sector should not be bigger.
Ten cities are Mumbai, Thane, Kalyan-Dombivli, Pune and Pimpri-Chinchwad, Nashik, Amravati, Solapur, Nashik, Nagpur and Aurangabad.
Shiv Sena-BJP controlled BrihanMumbai Municipal Corporation had sent a proposal of Rs 1,018 crore of which Rs 703 crore is allotted for capital expenditure.
The Nagpur civic body, where the chief minister Devendra Fadnavis in the past was elected as the city Mayor twice, has submitted the Rs 3,400 crore plan and Rs 2,900 crore plan by the NCP-Congress controlled Pune Municipal Corporation.
The Navi Mumbai civic body, where the ruling NCP had strongly opposed the Smart City project citing dilution of its power as delegated as per the 74th Constitutional amendment, has sent an ambitious plan of Rs 8,000 crore with an objective to project Navi Mumbai as one of the first planned cities of the country.
Further, the Shiv Sena controlled Thane civic body has submitted a Rs 6,630 crore plan which focuses on smart parking, waterfront development, renovation of gardens and stadiums, improvement in the sewerage network. the Amravati civic body has sent a proposal of Rs 5,000 crore for making city the favoured destination for agro based industries and textile.
State urban development secretary Manisha Mhaiskar told Business Standard,'' Civic bodies plan to raise funds through additional FSI, exploitation of land and bilateral and multilateral institutions including World Bank, ADB, KfW.''
BMC official said the civic body can earn money by charging premium on extra FSI.
However, the Navi Mumbai Municipal Corporation mayor Sudhakar Sonawane and Nashik mayor Ashok Murtadak reiterated their opposition for the tax hike.
Meanwhile, Shiv Sena chief Uddhav Thackeray said his party has offered a conditional support especially for the BMC's smart city plan.
He informed that the party has submitted about 18 amendments including the civic body to have a final say in the selection of area to be developed under the smart city project and mayor to head the proposed special purpose vehicle.
Besides, the entire plan to be implemented by the civic body and there should not be any equity by the private sector in the SPV.
