Published On : Thu, Oct 17th, 2024
By Nagpur Today Nagpur News

NMC faces financial crunch as Model Code of Conduct freezes State aid

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Nagpur: Following the implementation of the Model Code of Conduct from October 15 for the upcoming Maharashtra Assembly elections, the Nagpur Municipal Corporation (NMC) is grappling with a severe financial crisis, putting several crucial state-funded projects at risk of delay. Despite major announcements made earlier this year, NMC has not yet received adequate funds from the State Government, heightening concerns over financial liabilities and project delays, sources said.

According to sources, one of the major concerns for NMC is the flood prevention work, which was approved at a cost of Rs 204 crore before the Assembly elections. However, the State Government has stalled it. So far, the Municipal Corporation has received only Rs 14.51 crore for this project, which has resulted in a shortage of funds for key projects, such as the reconstruction of damaged retaining walls along an 8.41-kilometer stretch of the Nag and Pili rivers, despite the fact that the work is nearly complete.

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NMC has been consistently pushing this issue forward through the District Collectorate, but their efforts to secure funds have been unsuccessful. With the Model Code of Conduct in place, there is a likelihood of further delays in receiving funds from the state. In this scenario, NMC fears that the upcoming municipal elections will bring another round of code of conduct restrictions, complicating matters further, the sources added.

Out of the Rs 200 crore promised for development works in the South-West Assembly constituency, represented by Deputy Chief Minister Devendra Fadnavis, only 10% has been received so far. Similarly, for the East and South Nagpur constituencies, where Rs 300 crore was allocated, NMC has not yet received any funds.

With growing financial obligations and no immediate resolution in sight, NMC is preparing itself for further delays once the municipal election code of conduct comes into effect.

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