Gujarat: Up to 50% increase in municipalities’ authority to give approvals to grants for development works
It announced an increase in the approval limits for municipalities by 50% for projects funded under Urban Development Department schemes and the state’s Decentralised District Planning Programme.
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Further, once technical and administrative approval is granted by the municipal-level committee, the Regional Municipal Commissioner (RCM) office shall release the grant to the municipality concerned within five days of receiving the proposal, the CM added.
Municipalities in Gujarat will now be able to approve certain projects of an amount that is up to 50% higher than the acceptable limit so far.
Responding to representations made by MLAs of urban areas and office-bearers of local self-government institutions, the Gujarat government on Wednesday increased the financial authority limits for municipalities.
It announced an increase in the approval limits for municipalities by 50% for projects funded under Urban Development Department schemes and the state’s Decentralised District Planning Programme.
Chief Minister Bhupendra Patel, who declared 2025 as the Urban Development Year to foster smart and sustainable urban growth, said that to achieve this goal, the enhanced financial authority limits will help accelerate development works in cities and ensure quick implementation of urban civic amenities.
From Rs 50 lakh, the CM raised the approval limit for technical and administrative nod for development works for ‘A’ category municipalities to Rs 70 lakh – an increase of Rs 20 lakh.
Additionally, approval limits have been raised from Rs 40 lakh to Rs 50 lakh for ‘B’ category municipalities; from Rs 30 lakh to Rs 40 lakh for ‘C’ category’; and from Rs 20 lakh to Rs 30 lakh for ‘D’ category municipalities.
Further, once technical and administrative approval is granted by the municipal-level committee, the Regional Municipal Commissioner (RCM) office shall release the grant to the municipality concerned within five days of receiving the proposal, the CM added.
“100% of such grants will be disbursed in two installments. This will help prevent delays in commencing development works in municipal areas and ensure optimal utilisation of grants. CM’s decision will foster planned urban development, realise the vision of ‘Earning Well – Living Well,’ and ensure timely, quality completion of public welfare and other development works in urban areas,” the state government stated in an official release.
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