PMRDA snippets

The state government is mulling over various financial models for the Pune Metropolitan Region Development Authority (PMRDA), including transfer of government land in the Pune region to the authority. Urban development department (UDD) principal secretary T C Benjamin said, “The state government is working extensively on various financial models for the proposed PMRDA. The objective is to make the PMRDA self-sufficient enough to implement mega infrastructure projects.” Members of the Metropolitan Planning Committee (MPC), the planning authority for the PMRDA, have demanded that the state emulate the Mumbai Metropolitan Region Development Authority (MMRDA) model. Under this model, the state transfers its land in the region to the authority, which in turn exploits it to raise funds and implement infrastructure projects. “This is the best model available, whereby the PMRDA will be capable enough to implement its own projects and would not have to depend on other sources of income. Without any strong financial model, the PMRDA will be a fruitless exercise,” said MPC member Ujwal Keskar. MPC member Chetan Tupe said that all MPC members should be taken into confidence, before the state government announces the financial model. “There is no other option but to transfer the government land in the Pune region to the PMRDA. Once the PMRDA has its own land, then it will not have to depend on the state government’s help. The MMRDA model should be emulated to make the PMRDA work,” said MPC member Siddharth Dhende. Some of the other models being considered by the state include a model where initially the local governing bodies will have to bear and also share the cost of projects implemented under the PMRDA, till the state government implements the MMRDA model, where the state will procure land and use it to generate funds. The state government is also looking forward to getting funds from the central government under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) for the Pune agglomeration. The MPCs can prepare integrated development plans and seek funds from the JNNURM, which was earlier restricted to municipal corporations only. For claiming funds under the JNNURM, it is compulsory for the state government to form MPCs for cities with a population of over 30 lakh people. It may be noted that as per an ordinance promulgated recently by the state government, the Area Development Authority’s powers and functions include undertaking preparation and execution of town planning schemes — with regard to the draft development plan prepared by the metropolitan planning committee, carry out surveys in the development area to prepare town planning schemes and controlling the development activities. Besides these, the authority can levy or collect scrutiny fees for proposals submitted to the authority for permission for development. It can also execute water supply and sewage works, and make provisions for other services and amenities. The state government would be determining the amount which has to be contributed by local civic bodies for the expenses incurred by the Area Development Authority. Chief minister Ashok Chavan will soon make a formal announcement about the formation of the PMRDA. “The nitty-gritty of a financial model has been looked into and Chavan will make an important announcement soon,” said urban development department principal secretary T C Benjamin. The state recently approved an amendment to the MRTP Act to form the much-awaited PMRDA. Also, the chapter of Area Development Authority was added to the MRTP Act.
What is the MMRDA model?
Sale of plots under its jurisdiction as the primary source of revenue, supplemented by development charges for these plots
Mumbai Urban Development Project — Revolving Fund (MUDP – RF) was established in the MMRDA in 1988, with the object of co-financing projects similar to the Mumbai Urban Development Project (MUDP) — particularly projects for sites and services as well as slum upgradation by public bodies. Projects and programmes for improvement in local government services could also be financed from the MUDP-RF. It can be used for equity participation in remunerative projects
The MMRDA established a reserve fund in 1992. Out of this fund, shortand long-term loans are granted to local authorities in the MMR for financing infrastructure works
MMRDA generated about Rs 1,700 crore from disposal of plots in the Bandra-Kurla Complex in Mumbai
The MMRDA has created a corpus to finance developmental activities

PMRDA fundamentals:
Total area under PMRDA — 2,200 sq km ( approx)
Municipal corporations— Pune, PCMC
Municipal councils — Lonavla, Talegaon, Bhor, Shirur and Saswad
Cantonment boards — Pune, Khadki and Dehu Road
Gram Panchayats: 100