Pune: The Pune Municipal Corporation’s (PMC) record ₹15,000-crore-plus budget has come under sharp scrutiny as over ₹3,045 crore remains pending from the Maharashtra government.
In a letter to the PMC Standing Committee Chairman, civic activist Vivek Velankar highlighted that the civic body has presented an ambitious and unprecedented budget; its financial foundation appears uncertain due to the large amount of unpaid dues from the state.
Velankar pointed out that a key portion of the pending amount, ₹1,075.53 crore, remains for the stamp duty charge collected at 1% on property transactions in Pune. As per legal provisions, this revenue is to be transferred to PMC. However, dues from the financial years 2019–20 to 2024–25 are yet to be released by the state government.
He further highlighted that following the abolition of Local Body Tax (LBT) in 2017, the state government committed to compensating municipal bodies through Goods and Services Tax (GST) grants. In this regard, PMC is still awaiting ₹1,421.70 crore for 11 villages merged into the city limits in 2017.
In addition, ₹572.22 crore in GST compensation for 23 villages incorporated into PMC limits since 2021 also remains unpaid. With these components combined, the total outstanding amount payable to PMC stands at ₹3,045 crore.
Velankar noted that despite repeated follow-ups by the municipal administration, there has been little to no response from the state government. He has urged the standing committee chairman to intervene at both administrative and political levels to expedite the release of these funds.
He stressed that securing these dues is critical to ensuring the credibility and execution of the civic body’s budget, especially at a time when Pune is witnessing rapid urban expansion and increasing infrastructure demands.