MCD to be unified to improve governance, transparency & optimum resource utilisation

Municipal Corporation of Delhi, MCD, South Delhi Municipal Corporation, SDMC, North Delhi Municipal Corporation

The Municipal Corporation of Delhi (MCD) has come a full circle after it was trifurcated in April 2012. The three MCDs – South, East and North is now being unified with the Rajya Sabha passing a bill to this effect. The bill had already been cleared by the Lok Sabha.

The move was guided by the objective of ensuring better operations, cost savings and better use of funds. South Delhi Municipal Corporation was grossing maximum revenue, whereas the North Delhi Municipal Corporation was faced with shortage of funds.

The bill also proposes to ensure “a robust mechanism for synergised and strategic planning and optimal utilisation of resources and greater transparency, improved governance and more efficient delivery of civic services for the people of Delhi”.

Reports cite that the trifurcation of MCD had not yielded any significant positive outcomes on different parameters.

On the advertising revenue front, the three bodies had clocked a total of over Rs 200 crore in the pre-Covid year, with SDMC accounting for around 70% of the revenues. It remains to be seen how the consolidation of the three bodies will impact ad revenues, as well as media investment opportunities in the areas under MCD’s jurisdiction.