NEW DELHI: MCD Commissioner Ashwani Kumar on Thursday presented a Rs 17,000 crore estimated Budget for the 2025-26 fiscal year — a marginal rise of 1.91% from the previous year’s Rs 16,684.02 crore. The revised Budget estimate for 2024-25 was also tabled for discussion before final approval on Thursday.
Major infra projects highlighted in the budget include the ongoing construction of Sultanpuri railway crossing at Rs 64.38 crore and the expansion of Kishanganj Road Under Bridge at Rs 48.77 crore. A sum of Rs 116 crore has been allocated for a building project in Karkardooma and Rs 37 crore for developing Rawta and Daurala as model villages.
Initiatives have been included to improve waste disposal and sanitation. The corporation has planned bio-methanisation plants to process 200 metric tonnes of organic waste daily, alongside three Bio-CBG/CNG plants in Okhla, Ghogha Dairy, and Ghazipur, capable of handling 750 metric Tonnes Per Day (TPD). Plans for waste-to-energy plants in Narela-Bawana (3,600 TPD) and Ghazipur (3,000 TPD) are in progress.
The MCD has installed 308 electric vehicle charging stations, with 262 more in the pipeline. It has also inaugurated 30 new public toilets and is procuring advanced road-sweeping and drain-cleaning machines.
In the education sector, MCD schools are set to receive 12,234 new desks, while Rs 3 crore has been allocated for stadiums and sports facilities. Parking infra has also got a boost, with new facilities at Hauz Khas and Lajpat Nagar.
The Municipal Corporation of Delhi’s (MCD) latest budget reveals how the civic body generates revenue and allocates funds to essential services.
The budget documents highlight that the MCD’s total income for 2025-26 is estimated at Rs 16,70,104.70 lakh, while expenditure is projected to be Rs 17,00,266.86 lakh.
MCD’s revenue primarily comes from taxes, government grants, and other charges. Taxes account for the largest share, contributing 58.24 paise per rupee earned. The tax share from the government, which includes assigned taxes from the Delhi Finance Commission, stands at 19.65 paise per rupee.
Other revenue sources include rent, fees, and fines (4.96 paise), as well as miscellaneous receipts (17.09 paise). The MCD also earns through property transfer duty, advertisement revenue, and parking charges.
By January 2025, Rs 2,653 crore had been collected from property transfers, while advertising revenue stood at Rs 288.37 crore. On the expenditure side, sanitation receives the largest allocation, consuming 28.86 paise per rupee spent. Public works and street lighting follow, accounting for 17.02 paise. General administration expenses take up 20.83 paise, while public health and medical relief receive 10.78 paise.
Education accounts for 9.96 paise, while horticulture and veterinary services receive smaller portions, at 2.31 paise and 0.64 paise, respectively. The budget also outlines efforts to increase revenue collection. By January 2025, MCD had collected Rs 1,908.06 crore in property tax revenue, against a target of Rs 4,300 crore.
Additionally, parking revenues, advertisement charges, and mobile tower fees contribute significantly to the MCD’s earnings. To address financial challenges, the MCD is implementing digital initiatives, including geo-tagging of properties and FASTag-enabled parking systems.
However, a projected closing balance of just Rs 10.25 crore indicates tight finances. Efficient revenue collection and expenditure management remain crucial for sustainable urban development in Delhi.