Friday, February 6, 2026

MCD Budget Estimates: Crucial Revenue Hike Plans Under Discussion

The Municipal Corporation of Delhi (MCD) on Thursday continued deliberations on the budget estimates for the coming financial year and the revised estimates for the previous financial year 2025-26 during a House meeting, with 28 councillors offering suggestions and the opposition criticising the proposals as inadequate.

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New Delhi – The Municipal Corporation of Delhi on Thursday continued deliberations on the MCD budget estimates for the coming financial year during a House meeting that saw active participation from 28 councillors. The meeting also addressed revised estimates for the previous financial year 2025-26, with councillors offering numerous suggestions while opposition members criticized the proposals as inadequate for addressing the capital’s civic challenges.

The MCD budget estimates discussions represent a crucial exercise in municipal governance, determining how the corporation will allocate resources across various civic functions including sanitation, infrastructure development, education, and public amenities for millions of Delhi residents.

Proposed Budget Allocation and Key Features

The MCD budget estimates include a proposed allocation of ₹16,697.56 crore for the upcoming financial year. This comprehensive budget encompasses ambitious projects including theme parks, multilevel parking facilities, and a dedicated air pollution action plan designed to address Delhi’s persistent environmental challenges.

According to officials, the MCD budget estimates also include setting up one dog shelter in each of the 12 municipal zones at a cost of ₹10 crore. Additionally, the proposals include increasing councillors’ funds from ₹1.55 crore to ₹2 crore, providing elected representatives with enhanced resources for ward-level development initiatives.

Revenue Generation Proposals from Councillors

During deliberations on the MCD budget estimates, councillors suggested multiple measures to increase the corporation’s revenue streams. A prominent proposal involved cracking down on illegal parking and establishing a licensing system for parking operations, which could generate substantial revenue while improving traffic management.

The MCD budget estimates discussions also featured suggestions for constructing sports complexes in corporation-run schools under the public-private partnership model. This innovative approach could provide quality sports infrastructure without placing excessive burden on municipal finances while generating additional revenue.

Infrastructure and Equipment Recommendations

Councillors contributing to the MCD budget estimates deliberations proposed conducting a comprehensive survey of unipoles across the city. This initiative could help the corporation better monetize advertising infrastructure while ensuring proper regulation and revenue collection.

Additional proposals in the MCD budget estimates discussions included equipping every ward with earthmover and super sucker machines. This equipment would enhance the corporation’s capacity to maintain cleanliness and respond to waterlogging during monsoon seasons, improving overall civic service delivery.

Environmental and Waste Management Initiatives

The MCD budget estimates deliberations featured innovative suggestions for better utilization of green waste to control pollution. This proposal aligns with broader environmental objectives and could transform organic waste into valuable resources while reducing the corporation’s environmental footprint.

These environmental considerations in the MCD budget estimates reflect growing awareness of Delhi’s pollution challenges and the municipal corporation’s role in addressing them through sustainable waste management practices.

Employee Welfare Proposals

Among the suggestions presented during the MCD budget estimates discussions was a proposal to set up rest houses for female employees in each municipal ward. This initiative would demonstrate the corporation’s commitment to employee welfare and gender-sensitive workplace policies.

The MCD budget estimates must balance infrastructure development, service delivery, and employee welfare to create a sustainable and effective municipal administration that serves both workers and residents effectively.

Revised Estimates for Previous Financial Year

According to officials, the revised MCD budget estimates for financial year 2025-2026 peg revenue at ₹15,679.72 crore, with expenditure projected at ₹16,305.19 crore. This creates a deficit of ₹625.47 crore, highlighting the fiscal challenges facing the municipal corporation.

This deficit in the MCD budget estimates underscores the importance of revenue generation measures proposed by councillors and the need for efficient expenditure management to ensure fiscal sustainability.

Opposition Criticism of Budget Proposals

Councillors from the Aam Aadmi Party sharply criticized the MCD budget estimates, accusing the ruling Bharatiya Janata Party of failing to make concrete provisions for key civic sectors. Ankush Narang, Leader of Opposition in the MCD, characterized the budget as merely cosmetic in nature.

Narang’s critique of the MCD budget estimates highlighted alleged gaps in allocations for sanitation, health, education, salaries and pensions, and basic amenities. He argued that the budget makes no mention of constructing new roads, filling potholes, or building new drains, suggesting it fails to address fundamental civic infrastructure needs.

Mayor’s Response and Future Plans

Mayor Raja Iqbal Singh announced that discussions on the MCD budget estimates will continue on Friday and urged councillors to actively participate in the deliberations. He emphasized the importance of member participation in shaping the final budget document.

The Mayor expressed commitment to making Delhi clean, green, and beautiful through the MCD budget estimates. He stated that the budget will accelerate Delhi’s development and meet the aspirations of its citizens, defending the proposals against opposition criticism.

Path Forward for Budget Approval

As deliberations on the MCD budget estimates continue, the corporation faces the challenge of balancing ambitious development plans with fiscal constraints. The suggestions from councillors regarding revenue generation, infrastructure development, and service improvement will need careful evaluation before final budget approval.

The MCD budget estimates process demonstrates the complexity of municipal governance in a megacity, where diverse stakeholder interests must be reconciled with available resources to deliver essential civic services effectively.

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