Powercuts equal less MC income

Rs SIX crore is the total loss incurred by the Ludhiana Municipal Corporation owing to powercuts throughout the year.

Written by Raakhi Jagga | Ludhiana | Published:February 28, 2009 12:21 am

Rs SIX crore is the total loss incurred by the Ludhiana Municipal Corporation owing to powercuts throughout the year.

On the basis of last year’s collections,the MC pegged the target income from octroi on electricity at Rs 28 crore. Till December 2008,however,the MC has managed to earn only Rs 15.74 crore.

In the current quarter,the civic body hopes to rake in around Rs 6.25 crore. In all probability,this year’s collections will not pass Rs 22 crore.

The reason,as stated by officials of the Punjab State Electricity Board,is frequent power failures.

As clients consume less electricity,the PSEB has to pay less octroi duty,leading to reduced earnings for the MC.

The advertisement section,too,has fallen behind targets. Against the set target of Rs 13 crore,the ad department had earned only Rs 2.8 crore till December.

Even though the MC has leased out the new sites for Rs 8.25 crore,projections in the Budget file state that this year’s earnings will not rise above Rs 3.8 crore.

Even as the city is teeming with billboards and hoardings and roadshows are a routine affair,the MC has earned only Rs 4 lakh from this sector.

The MC also fared dismally in the health sector. The civic body spent over Rs 43 crore on running its six dispensaries but the collected medical fee amounted to just Rs 32,000. Last year as well,the collections amounted to only Rs 44,000.

The Budget will be presented on Saturday in the General House meeting of the Municipal Corporation.

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