Lack of steps to up revenue seen as roadblock for corp

Kochi: Lack of proper measures on the part of

Kochi

corporation authorities to enhance revenue generation came under severe criticism by many of the councillors on Saturday. During the discussions on the budget for 2022-23 presented by the corporation deputy mayor on Thursday, opposition councillors alleged that the budget pins hopes on the central and state funding even for the meagre increase in the revenue which is expected. At the same time, the ruling front councillors claimed that many of the promises in the past budget could be implemented.According to development standing committee chairman

P R Reneesh

, many projects for ensuring social welfare and development could be implemented last year. He claimed that around 86 projects announced in the 2021-22 budget were implemented. He cited Samrudhi@Kochi hotel where the public get a meal at Rs 10, measures to contain waterlogging in the city, preliminary steps in the direction of implementing e-governance and projects started in the cultural field to prove his claim.Opposition councillors said that the budget presented by the deputy mayor shows a negative growth. “The current budget puts total expenditure at Rs 1,099 crore, which is an increase of Rs 265 crore over the previous year’s budget. For meeting the expenses, the corporation authorities mainly depend on grants and financial support from Union and state governments,” opposition leader

Antony Kureethra

said. “Financial assistance of Rs 69.88 crore from the World Bank, Rs 57 crore expected from Smart City mission, Rs 50 crore expected from Amrut project, Rs 77 crore the state government owes to Kochi corporation on account of disbursement of welfare pensions and Rs 30 crore which the local body plans to avail of as loan for constructing new office building of the corporation are the major revenue the civic body authorities envisage in the current budget,” Kureethra said.Opposition councillors say that the increase in the corporation’s own revenue is just two per cent. “The corporation’s own revenue during 2021-22 fiscal was Rs 310 crore. In the budget for 2022-23, the projected own revenue is Rs 317 crore. It is just a bit over two per cent of the total outlay. Given the fact that the inflation rate in the country is six per cent, the corporation’s projected growth in its own revenue becomes negative growth,” said

Henry Austin

, a Congress councillor. “It is at a time when around 20% increase in the expenditure for the corporation’s administrative purpose is estimated that the local body authorities fail to increase the civic body's own revenue. This will lead to a financial crisis, especially regarding payment of arrears to the contractors which now stands at Rs 100 crore,” he said.At the same time, ruling front councillors, including mayor

M Anilkumar

, said that the lion’s share of the corporation's own revenue is used for meeting the salary bills of the staff.” “It is not a situation created by the current council but one that evolved over the years,” mayor said.