Cabinet nod to merger of 3 municipal corporations in Delhi

The union cabinet on Tuesday approved unification of the three municipal corporations in the capital.

Sources said that the union cabinet chaired by Prime Minister Narendra Modi has approved the unification of three municipal corporations to one Municipal Corporation of Delhi (MCD) and a bill for this will be tabled in Parliament this week.

"Today union cabinet approved the unification of three municipal corporations - North, South and East" to one MCD. A bill for the three corporations is likely to be tabled in Parliament on March 24 or 25. After unification of three corporations approved by the Parliament, Delhi will have one mayor in place of the existing three," sources said.

The bill "The Delhi Municipal Corporation (Amendment) Act, 2022", sources said that amendment provides for a unified Municipal Corporation of Delhi (MCD) by subsuming the existing three corporations.

The erstwhile Delhi Municipal Corporation was trifurcated into three Municipal Corporations viz. South Delhi Municipal Corporation SDMC), North Delhi Municipal Corporation (NDMC), and East Delhi Municipal Corporation (EDMC) in the year 2011 vide the Delhi Municipal Corporation Amendment Act, 1911 (Delhi Act, 12 Of 2011).

"The trifurcation of the corporation was uneven in terms of the territorial divisions and revenue generating potential of each corporation. As a result, there was a huge gap in the resources available to the three corporations, vis-a-vis their obligations," the sources said.

The government sources claimed that the gap has widened over a period of time, increasing the financial difficulties of the three Municipal Corporations, leaving them incapacitated to make timely payment of salaries and retirement benefits to their employees and thereby creating serious impediments in maintaining civic services in Delhi.

Earlier this month, the state election commission had deferred announcement of municipal poll dates saying that the centre is planning to unify the three municipal corporations -- South, East and North.