BMC spends 87% of capex budget with big infra push | Mumbai News


BMC spends 87% of capex budget with big infra push

Mumbai: BMC has stepped up its infrastructure spending, utilising 87% of its capital expenditure budget for 2025-26, with Rs 39,159 crore spent out of the allocated sum — a sharp rise from 77% utilisation in the previous financial year. Civic spending data shows that in 2024-25, BMC spent Rs 28,755 crore of the earmarked amount for capital works (money spend on the construction of roads, drains, bridges, etc) indicating an acceleration in project execution this year.Leading the expenditure chart is the Mumbai Sewage Disposal Project (MSDP), the civic body’s Rs 30,000-crore plan to modernise the city’s ageing sewage network. The department spent Rs 6,594 crore in the 2025-26 financial year, overshooting its initial allocation and prompting a revised estimate, while for 2025-26, the allocation has been increased from Rs 6,499 crore to Rs 7,029 crore. The project focuses on upgrading and building seven sewage treatment plants across Worli, Bandra, Dharavi, Versova, Malad, Ghatkopar and Bhandup to ensure most wastewater undergoes secondary treatment before being discharged.Other big-ticket spenders include the water supply department, which utilised 88% of its Rs 4,800 crore allocation, the roads department that spent Rs 5,799 crore on the ongoing concreting drive, the bridges department with Rs 4,004 crore, and the storm water drains (SWD) department at Rs 1,181 crore. BMC’s overall budget for 2025-26 was Rs 74,427 crore, with 58% earmarked for capital expenditure.A BMC official said, “BMC has consciously increased capital expenditure over the last few years. If funds are not used, they lapse.”But Kalina corporator Tulip Miranda said, “Flagship projects like Coastal Road or Goregaon Mulund Link Road are great, but BMC’s basic duty is to provide and improve everyday civic services. Our civic hospitals, for instance, are in need of a revamp.” RTI activist Anil Galgali said that despite the large capex, quality of work is often poor. “BMC should ensure proper supervision of work,” he said.BMC is also considering green bonds to finance its sewage treatment plant (STP) projects, which are expected to cost over Rs 30,000 crore. The proposal is undergoing accreditation and credit rating — both mandatory steps before any bond issuance.



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