MC earmarks Rs 1,050cr for revenue spend in FY27

Deepak.Yadav@timesofindia.comChandigarh: Prioritising salaries, wages and pensions after last year’s financial strain, the municipal corporation has earmarked Rs 1,050 crore under its revenue segment for 2026-27, with the highest expenditure planned in the first quarter.With committed liabilities driving the bulk of spending, the civic body has allocated Rs 338 crore for wages, Rs 261 crore for salaries and Rs 58 crore for pensions. Other major heads include Rs 128 crore for electricity bills and Rs 124 crore for minor works, taking the total across 11 components to Rs 1,050 crore.The MC has front-loaded its expenditure plan, projecting Rs 289 crore outgo in the first quarter, followed by Rs 265 crore in the second, Rs 253 crore in the third and Rs 243 crore in the final quarter.Officials said revenue expenditure largely comprises fixed liabilities that cannot be deferred. “Salaries, wages and pensions have to be paid on time, and these heads cannot be deviated from,” sources said. They added that instructions have been issued to ensure timely disbursement after last year’s diversion of pension funds to meet salary and wage payments drew criticism.The MC had spent Rs 956.78 crore under the revenue segment in 2025-26, with wages accounting for the largest share at Rs 314 crore, followed by Rs 243 crore for salaries. Electricity and minor works had cost Rs 112 crore each.Sources said an increase in grant-in-aid from the Chandigarh administration this year is expected to ease financial pressure and ensure smooth payment of committed liabilities.Spending on Core Liabilities PriorityHEAD Q1 Q2 Q3 Q4 TOTAL---------------------------------------------------------------------------Salaries 80 cr 65 cr 60 cr 56 cr 261 crWages 84.5 cr 84.5 cr 84.5 cr 84.5 cr 338 crPension 19 cr 16 cr 14 cr 9 cr 58 crNPS 3 cr 2 cr 2 cr 2 cr 9 crMedical reimbursement 0.75 cr 0.75 cr 0.75 cr 0.75 cr 3 crElectricity bills 32 cr 32 cr 32 cr 32 cr 128 crMinor works 35 cr 33 cr 28 cr 28 cr 124 crPetrol/oil/lubricants 10 cr 7 cr 7 cr 6 cr 30 crSanitation 13 cr 13 cr 13 cr 13 cr 52 crOffice expenses 3.75 cr 3.75 cr 3.75 cr 3.75 cr 15 crOther expenditure 8 cr 8 cr 8 cr 8 cr 32 cr---------------------------------------------------------------------------TOTAL 289 cr 265 cr 253 cr 243 cr 1,050 crQuarter-wise outlayQ1: Rs 289crQ2: Rs 265crQ3: Rs 253crQ4: Rs 243crTop spendsWages: Rs 338crSalaries: Rs 261crElectricity: Rs 128crMinor works: Rs 124crPension: Rs 58cr