Mayor withdraws proposal to increase power cess
Facing opposition from the alliance partner Congress and his own party, AAP Mayor Kuldeep Kumar today took a U-turn and decided to withdraw the proposal to enhance the municipal cess on electricity consumption by 6 paise per unit.
“As both AAP and Congress have decided not to support the proposal, we have decided to withdraw the agenda,” said the Mayor.
The agenda was to be tabled in the General House meeting for discussion and approval on November 23. Punjab Governor and UT Administrator Gulab Chand Kataria will also attend the meeting.
The MC has proposed to increase the municipal cess from 10 paise per unit to 16 paise per unit. According to the agenda, the MC had imposed the municipal cess on electricity consumption at 10 paise per unit in 2019. The MC earns approximately Rs 15-16 crore every year on this account. As the MC is facing a financial crisis, it decided to enhance the municipal cess, which will increase its revenue from the levy from Rs 15-16 crore to Rs 22-23 crore per annum. Meanwhile, the Congress has decided to oppose the proposal to impose any new tax or to increase the rate of any existing tax on the city residents, at least, until 2029.
In a statement, Rajiv Sharma, chief spokesperson for the Congress, stated that the party and MP Manish Tewari unflinchingly stood by their solemn commitment made during the 2024 Lok Sabha elections that no new taxes will be imposed on the city residents. He said on the contrary, the residents needed some respite after the BJP-led MC imposed back-breaking taxes on the people during its eight-year tenure till 2023.
City Congress president HS Lucky instructed the Congress councillors to oppose the agenda, if tabled in the House meeting on November 23.
Senior AAP leader Prem Garg condemned the MC proposal to impose a higher levy on electricity. Calling the move “ridiculous and anti-public,” he urged all councillors, especially those of AAP, to oppose this agenda and stay committed to the promises made to the people.
Garg said the AAP’s manifesto, dated December 16, 2021, promised free water, electricity and parking. This promise played a pivotal role in securing 14 seats for the party in the MC elections. “With an AAP-led Mayor, any proposal for higher electricity levy would amount to backtracking on these commitments and betraying the trust of the people,” said Garg.
He emphasised that the city’s financial needs could be met without burdening the public. “There are hundreds of ways to augment MC resources and curb wasteful expenditures,” he added.
Stand by LS poll promise: Cong
Rajiv Sharma, chief spokesperson for the Congress, stated that the party and MP Manish Tewari unflinchingly stood by their solemn commitment made during the 2024 Lok Sabha elections that no new taxes will be imposed on the city residents. He said on the contrary, the residents needed some respite after the BJP-led MC imposed back-breaking taxes on the people during its eight-year tenure till 2023.
