Chandigarh: Bringing a tech-forward twist to civic governance, the Chandigarh municipal corporation has set aside a dedicated Rs 12 crore fund to infuse Artificial Intelligence into day-to-day operations—from tracking employee output to monitoring service delivery right at residents' doorsteps. The allocation comes as part of the MC's Rs 1,712-crore budget for 2026-27, even as the civic body stares at a Rs 93.75-crore deficit.
AI emerged as the star of this year's budget discussion, which also focused on improving gaushala management, strengthening water and sewerage systems, and boosting support for EWS societies and villages.
Giving top priority to integrating AI and technology into the functioning of the Municipal Corporation Chandigarh, mayor Saurabh Joshi said in his budget speech that the civic body aims to take services directly to citizens' doorsteps. "With the use of AI, the MC will try to reach every citizen with quality services. Taking forward the Digital India vision, a provision of Rs 12 crore has been made for AI and IT upgrades for the first time," he said. The allocation will support an AI-enabled single-window system, digital file tracking, AI-based grievance redressal, smart streetlight monitoring, and online building and payment systems. "This will reduce physical visits to MC offices and make the administration more transparent," Joshi added.
Expanding on the digital roadmap, municipal commissioner Amit Kumar said AI-backed smart paid parking, time-based monitoring of door-to-door garbage vehicles, and real-time oversight of water and sewerage systems will be part of the initiative. He said the Integrated Command and Control Centre (ICCC) will be strengthened and that the administration is consulting multiple experts, though decisions will be taken only after detailed assessment.
During the budget discussion, opposition councillors strongly flagged gaps in gaushala management and water and sewerage services, and demanded greater attention to EWS societies and villages—issues that dominated their interventions.
Revenue generation also received significant emphasis. The MC announced a one-time settlement scheme for taxpayers with pending arrears, alongside measures such as digital tax collection, smart parking and a digital advertising policy. Revenue projects proposed under the PPP model, EV charging stations, mobile-tower rentals and a modern community centre were also part of the financial blueprint.
Upgrading vending zones and building a model vending zone with essential facilities remained another key item. Councillors stressed that vendors are an important part of the urban economy and must be provided proper spaces. Officials said each vending zone will soon have three bins, and vendors will be required to maintain their own bins to ensure sanitation.
Imp Box: AI in Prayagraj
Prayagraj Municipal Corporation's rapid AI adoption for monitoring cleanliness—especially around the Sangam—showed striking results. Using AI-powered cameras, PMC tracked garbage-bin fill levels, flagged illegal dumping, and identified waste types for better sorting. Door-to-door collection, sweeping and disposal functions were all integrated for real-time oversight.
Box: Budget copies come too late
Councillors across party lines objected to receiving the bulky budget document only a day before the meeting, saying they didn't have enough time to study it. They urged the mayor to ensure timely distribution in future so members can offer informed suggestions.
Box: GiA already pre-decided
While the MC passed a Rs 1,712-crore budget seeking Rs 1,248 crore in Grant-in-Aid, the UT administration had already announced Rs 850 crore for the civic body weeks earlier. Councillors said this makes the GiA request largely a formality, with key financial decisions already taken by the administration.
Quotes:
With the use of AI, the MC will try to reach every citizen with quality services. The allocation will support an AI-enabled single-window system, digital file tracking, AI-based grievance redressal, smart streetlight monitoring, and online building and payment systems. This will reduce physical visits to MC offices and make the administration more transparent
Saurabh Joshi | mayor
The budget lacked clarity and focus on key areas. There is a need to give special focus to villages and colonies, but nothing has been specified in the budget. There is no new project for villages, and a substantial amount must be earmarked for these areas. We also need proper management of gaushalas. Besides that, the budget is missing steps for environmental safety, and the large number of vacant posts for regular employees is a major concern
Leader of opposition and AAP councillor Hardeep Singh
The budget is "not historical at all as councillors were not even consulted. The budget was prepared by officers and handed over to us just a day before, so councillors couldn't read it properly. A huge amount has been placed under the capital head like previous years, but nothing moves on the ground. Works related to gaushalas and ward development funds must be made time-bound.
Gurpreet Singh | Congress councillor
The budget is aimed at the city's holistic development. The works under the ward development fund need to be expedited, and with the increased allocation, the amount must be carried forward. The MC should hire EVs on rent instead of petrol and diesel vehicles, and all pending fire vehicles should be purchased at the earliest.
BJP councillor Maheshinder Singh Sidhu
Budget figures:
Total Budget 1,712 crore
Capital Head 610 crore
Revenue Head 1,102 crore
Grant in Aid sought from UT 1,248 crore
Electricity Duty 16.97 crore
Box: Key heads under capital segment kept amount against them
Heads---------------------------------------------------------------------Amounts
1: Improvement of roads and parking places---------------------135 crore
2: Augmentation of water supply system---------------------------55 crore
3: Storm water drainage------------------------------------------------47 crore
4: Sewerage system-------------------------------------------------------41 crore
5: Solid waste management--------------------------------------------32.50 crore
6: Ward Development Fund-------------------------------------------37.80 crore
7: Civic works-------------------------------------------------------------28.66 crore
8: Sanitation and allied services--------------------------------------28.66 crore
9: Basic amenities of EWS---------------------------------------------14.53 crore
10: Landscaping-----------------------------------------------------------13 crore
Box: Key heads under revenue segment kept amount against them
Heads-------------------------------------------------------Amounts
1: Wages-------------------------------------------------------338.65 crore
2: Salary and establishment-------------------------------261.23 crore
3: Payment of electricity bill------------------------------136.60 crore
4: Minor works-----------------------------------------------129.25 crore
5: Pensionary charges----------------------------------------58 crore
6: Fuel and lubricants---------------------------------------32 crore
7: Office expenses---------------------------------------------18.66 crore
8: NPS (employees share)-------------------------------------9 crore
9: Hiring of vehicles-------------------------------------------5.70 crore
10: Swachh Bharat Mission-----------------------------------5 crore
Box:
Box: Head-wise key revenue receipts with their amounts
Head--------------------------------------------------------------Estimated Amount
1: Water charges--------------------------------------------------168 crore
2: Property Tax (Commercial)---------------------------------65 crore
3: Property Tax (Residential)------------------------------------35 crore
4: Parking fee-----------------------------------------------------30 crore
5: Garbage colle-ction charges----------------------------------30 crore
6: MC tax on electricity bills-----------------------------------20 crore
7: Estate wing's receipts----------------------------------------15 crore
8: Advertisement Fee--------------------------------------------20 crore
9: Miscellaneous receipts-----------------------------------------8.94 crore
10: Receipts from enforcement wing---------------------------4 crore
Total----------------------------------------------------------------461 crore
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