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City Corporate & Business Plan - Municipal

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Chapter ñ 12 Final Report: Ambur <strong>Municipal</strong>ity<br />

12.9 ACTION PLAN: PRIVATISATION INITIATIVES<br />

The present areas of privatization of the functions of the ULB in Tamil Nadu are<br />

i. Solid waste management- all components.<br />

ii. O&M of street lights.<br />

iii. O&M of water supply distribution.<br />

iv. AMC of public and pay & use toilet facilities.<br />

v. Parks and parking lots Maintenance and user charges collection.<br />

The GoTN states that this list is indicative and ULBs are free to explore more options.<br />

This would not only save the O&M expenses, but also indirectly in pension and<br />

gratuities. The various strategy options are discussed below:<br />

Strategy options<br />

1. Privatisation of Collection mechanism<br />

Providing a computer fitted mobile van with online access to municipal database<br />

for spot billing and collection of all taxes. Performance based incentives can be<br />

given to the private operators at the rate of 5% of total collection .The support of<br />

the Youth / Women SHGs or fan clubs can be sought for the purpose of collection<br />

with adequate sensitization programmes.<br />

2. Improving community participation by organizing Public awareness campaigns<br />

and Training of Tax Inspectors, to improve the ëwillingness to payí of the users. The<br />

aid of SHGs, fan clubs, media could be utilized for the purpose. The following are<br />

the various avenues of revenue, the collection of which could be privatized.<br />

1. Property tax<br />

2. Profession tax<br />

3. Water - Deposits and tariff<br />

4. UGSS- Deposits and tariff<br />

5. Advertisement spaces /rights as a single contract<br />

6. Parking areas<br />

7. Solid waste conservancy fees(Domestic and non-domestic)<br />

3. Privatisation of Operation and Maintenance of the entire Water Supply and<br />

Distribution System.<br />

4. Privatisation of operation and maintenance of the UGSS.<br />

5. Privatisation of Solid waste management (Discussed indetail under Improving<br />

revenue from user charges)<br />

6. Privatisation of O&M of street lights & pumping machinery(detailed out in<br />

Action plan for energy & resource efficiency)<br />

- 124 -<br />

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