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The Hindu
30-07-2025
- Business
- The Hindu
Demand for formula-based fund allocation from GBA to corporations grows louder
Municipal finance experts, former councillors, and civic activists have raised concerns over the lack of a transparent mechanism or formula for the State government to give grants to corporations through the Greater Bengaluru Authority (GBA), which is touted as the balancing mechanism between five corporations of not only varying sizes, population and population density but also of projected property tax revenue. However, between five corporations and the State government, there will be six elected bodies and multiple political parties in power, often at loggerheads. Multiple former councillors, including from the ruling Congress, said with no formula to guide the allocation of funds, favouritism and political compulsions will creep in and the corporations will likely suffer. It has now come to light that the draft of the Greater Bengaluru Governance Bill submitted to the State government in July, 2024, had a provision for a finance advisory committee, with a three-year term, of five members 'having knowledge and experience in financial matters' and 'headed by an economist specialising in public finance', 'to review the financial position of the municipal corporations and make recommendations regarding the distribution of finances across municipal corporations in the Greater Bengaluru Area'. However, this was dropped in the Bill presented in the Assembly by the State government and later passed by both Houses and approved by the Governor. 'It is ironic that the Congress government cries foul over tax devolution from the Union government and argues the formula is unfair to our State. But in Bengaluru, they don't even want a formula for fund allocation,' said Padmanabha Reddy, BJP leader and former Leader of Opposition in the BBMP Council. However, he said his party was opposed to splitting the BBMP and argued the GBA was 'unconstitutional' and would fight the same legally. Composite development index Civic activists and finance experts have been arguing for a formula or a composite index to be evolved to guide fund allocation to these five corporations from the GBA. They have also demanded amendments to The Greater Bengaluru Governance Act, 2024 to restore the finance advisory committee in the GBA. N.S. Mukunda, of Bengaluru Praja Vedike, a citizens' collective, argued for developing a ward development index, which was not only based on existing infrastructure and further needs, but quality of life. 'Based on these ward development index, a municipal corporation index can be arrived at for each of the five corporations and this index should be dynamic and funds allocation from the GBA should be guided by this alone,' he argued. Srikanth Viswanathan, chief executive officer, Janaagraha Centre for Citizenship and Democracy, also an expert on municipal finance, said that there was no alternative to an independent finance advisory committee, which will develop a composite index/formula to decide on the fund allocation from GBA to each of the five corporations. 'We need formula-based transfers in a manner that revenue streams are predictable for at least five years. Currently, as we see in annual funding from the State, half the financial year is wasted in just red tape and the civic body doesn't seem to have the capacity to take up works to match the allocation in the same year leading to spillover works,' he argued.
The Hindu
23-07-2025
- Politics
- The Hindu
FGG for V&E probe into ‘misuse' of special development funds
The Forum for Good Governance (FGG) has urged Chief Minister A. Revanth Reddy to order a Vigilance & Enforcement (V&E) inquiry into the alleged misuse of Special Development Funds (SDF) released for taking up developmental works in Assembly constituencies. FGG president M. Padmanabha Reddy said that the government sanctioned ₹1,190 crore at ₹10 crore for each Assembly constituency in 2023-24. The amount was released to District Collectors for taking up developmental works with the approval of the District In-Charge Minister. The SDF funds were meant to be spent on education infrastructure (₹2 crore), drinking water (₹1 crore), maintenance of collectorates or government offices (₹50 lakh) and balance ₹6.5 crore for other developmental works. However, the fund was not being implemented as per the guidelines leading to misuse and wastage of taxpayers' money. Citing examples in a letter addressed to the Chief Minister, he said that Devarakonda MLA proposed an amount of ₹1.14 crore for his office-cum-residence when there was no provision for renovation of MLA's residence. 'It is not clear how the district in-charge Minister approved such works. There are many similar cases in other districts also,' Mr. Padmanabha Reddy said. He said that tenders ought to be called for works more than ₹5 lakh in line with the rules, but executing agencies were splitting the works into bits of ₹5 lakh each and allotting them on nomination basis. The Congress Assembly constituency in-charges were proposing works bypassing the MLAs and the district in-charge Minister was sanctioning them. For instance, the sitting MLA was ignored in the Karimnagar Assembly constituency and proposals were received from the Congress in-charge, which were subsequently approved. There were many villages in Karimnagar Assembly constituency where infrastructure for schools and drainage facility were required, but sanction was made for 50 high mast lights in villages at a cost of ₹60 lakh and open gym in 25 villages at a cost of ₹1.25 crore. 'No tenders were invited and works were allotted on a nomination basis,' he lamented. In view of these, he wanted the government to order an inquiry and authorise the Collector to approve the works.
Time of India
05-06-2025
- Politics
- Time of India
Telangana govt urged to impose total ban on single-use plastics
1 2 Hyderabad: The Forum for Good Governance (FGG) has urged the state govt to impose a total ban on single-use plastics (SUP), citing severe environmental damage and health risks. In a detailed representation, FGG highlighted the widespread littering of plastic carry bags, plates and other disposable items, which choke drains, pollute water bodies, endanger wildlife and compromise soil and groundwater quality. Drawing attention to successful bans in Karnataka and Maharashtra, the forum stressed that enforcement of existing rules was ineffective and called for comprehensive action. FGG president Padmanabha Reddy said, "Even with the slightest rain, the roads get flooded, leading to traffic chaos, particularly in metropolitan cities such as Hyderabad, besides damaging property and sometimes claiming human life. Domesticated animals consuming leftover food and other waste thrown in plastic bags die a painful death. Burning of plastics leads to the emission of highly toxic gases, particularly dioxins and furans. " He added, "In Plastic Waste Management Rules, 2016, less than 50 micron thickness carry bags were banned, but it is impossible to control and regulate the manufacturing and use of such plastic carry bags as public are not in a position to know the exact thickness." FGG said the National Green Tribunal (NGT) upheld the legal validity of the total ban on plastics imposed by Karnataka. The plastic industry filed an appeal against the NGT order before the SC, which refused to stay the NGT order, he said. "The govt of Karnataka has taken into account the environmental concern and protection of public interest, which is of much greater cause than the economic interest sought by the manufacturers of single-use plastic items. Telangana should follow the footsteps of Karnataka," he said.
Hans India
23-04-2025
- Politics
- Hans India
FGG outraged over BRS' diktat to city corporators
Hyderabad: The Forum for Good Governance (FGG) on Tuesday demanded action against the BRS party for refraining their corporators from canvassing their vote in the Council election under Hyderabad Local Authorities constituency (LAC). The FGG president M Padmanabha Reddy said that asking the corporators not to cast their vote attracts offence under Section 123 of the RP Act and Section 169 of BNS. The FGG president said that Election Commission of India was taking numerous steps to improve the polling percentage. The Civil Society Organisations in Telangana at the time of elections were organising as 'Election Watch' and taking up campaign for all citizens to exercise their voting right. The Supreme Court ordered the ECI to include NOTA to improve the polling percentage and to allow negative voting. The entire exercise of the Election Commission of India, Supreme Court and Civil Societies was to see that all voters should exercise their Right to Vote. Padmanabha Reddy said that citizens of Hyderabad have elected their Corporators, MLAs and MPs by exercising their adult franchises. When it comes to electing an MLC by Corporators of Greater Hyderabad Municipal Corporation, the BRS party is directing its Corporators not to participate in elections. The party has warned the Corporators of serious action if any Corporator participates and votes in elections. This act of the BRS party violates Section 123 of RP Act and again, as per Section 169 of BNS 2023 a person has an electoral right to vote at an election. Directing the party Corporators not to go for voting violates the Right to Vote. Forum for Good Governance requests Election Commission of India to take suitable action in this matter, the FGG president said.
