Nagpur: After a gap of 17 years, the city is likely to get a special grant as the second capital. Nagpur Municipal Corporation (NMC) has sought Rs180-200 crore per annum as special grant, with the final amount to be decided by the state government.
NMC standing committee chairman Virendra Kukreja told TOI the BJP-led ruling alliance in the civic body was hopeful of getting the special grant from the government with city MLA Devendra Fadnavis as chief minister. “Fadnavis held a meeting in this regard on March 22. NMC was directed to submit the proposal, and it has done so,” he said.
Municipal commissioner Ashwin Mudgal said the civic body has worked out the special grant eligibility at Rs180-200 crore per annum.
Considering the city as the state’s second capital, the BJP-Sena government had approved special grant of Rs20 crore per annum in 1995. The then guardian minister and now union minister Nitin Gadkari had taken the initiative for the special grant. After it replaced the BJP-Sena government, Congress-NCP government reduced the grant to Rs15 crore per annum, then to Rs5 crore per annum, before discontinuing it in 2001.
Finance minister Sudhir Mungantiwar has given re-birth to the special grant as second capital during the pre-budget meeting organized in the city on February 16. He assured guardian minister Chandrashekar Bawankule that the state would approve the special grant.
NMC sources told TOI the government would not require new process to approve the special grant. “The government has already completed necessary process in 1995. Therefore, NMC has been asked to calculate the eligibility in current conditions, taking the base of Rs20 crore per annum approved in 1995. NMC has come up with the figure of Rs180-200 crore per annum after considering hike in wholesale price index, consumer price index, inflation etc over these 17 years,” sources said.
Actually, the CM wants to compensate NMC for the loss in GST grant. The urban development department under the CM is giving only Rs51.36 crore per month as against demand of Rs88.63 crore per month.