Indore (Madhya Pradesh): Residents of Madhya Pradesh's commercial capital are in for a financial shock as BJP-ruled Indore Municipal Corporation is all set to announce substantial hikes in water cess and property tax in budget for fiscal 2024-25 to be presented on Tuesday.
Mayor Pushyamitra Bhargav is set to present IMC's ambitious budget of approximately ₹7800 crore at Atal Parisar on IMC headquaters . This budget aims to facilitate several developmental projects, with a strong focus on infrastructure improvements and addressing the city's water crisis. However, the budget also includes significant tax hikes that are likely to impact residents and businesses.
Residents are facing a notable increase in utility costs, with a 50% hike in water cess, raising the monthly charge from ₹200 to ₹300. This increase positions Indore as having the highest water cess rate in Madhya Pradesh, despite providing water only 15 days a month.
Additionally, the budget proposes an 8-10% increase in property tax. This follows recent adjustments to the rate zones of various colonies, further burdening property owners with higher rates.
Bhargav may hike in garbage charges with current plans suggesting an increase solely for commercial properties based on plot area, following an amendment from an earlier proposal that included residential properties.
Key Development Projects
One of the most significant projects in the upcoming budget is the fourth phase of the Narmada water project, which aims to provide a consistent daily water supply to the residents of Indore. This project, with a total budget of ₹1900 crore, involves taking a loan of ₹800 crore from the International Finance Corporation (IFC). Upon completion, the project is expected to deliver 900 million liters per day (MLD) of water, addressing the city's growing water demands and extending service to new areas within the urban limits.
To support this expansion, the IMC plans to construct 32 new overhead water tanks and repair existing pipelines from earlier phases. The project is targeted for completion by December 2026 and is designed to meet Indore's water supply needs through 2050.
In preparation for the upcoming Simhastha, the budget also emphasizes the cleaning of the Kanh river and the installation and commissioning of all sewage treatment plants (STPs) to ensure environmental sustainability.
The IMC is likely to allocate additional funds for Information Technology improvements, focusing on the development of a new portal and other technological advancements to streamline city services.
A "waste-to-energy initiative" is also included in the budget, aimed at enhancing the city's sustainability efforts and reducing its carbon footprint.
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