boost for Urban revamp with Rs.7,257 crore
Chandigarh, March 9 -- The Punjab government has earmarked Rs.7,257 crore to boost urban infrastructure. The biggest increase is in the municipal development fund (MDF), which has been allocated Rs.1,000 crore for the next fiscal, up from Rs.225 crore in 2025-26.
The MDF will be available to all urban local bodies for creation and upgradation of essential civic infrastructure such as roads, street lighting, water supply, sewerage, drainage, solid waste management, sanitation, public utilities, public safety systems and environmentally sustainable infrastructure.
Out of this fund, 20% will be utilised for operations and maintenance of water supply and sewerage projects, ensuring not only asset creation but also sustained service delivery.
The other major allocation has been made under the municipal services improvement project (PMSIP), a canal-based surface water supply initiative supported by the state government, the World Bank and Asian Infrastructure Investment Bank (AIIB). The works are already underway in Ludhiana and Amritsar to strengthen long-term urban water security.
A budget provision of Rs.500 crore has been proposed under PMSIP. The project, scheduled for completion by 2028, involves the construction of large-capacity water treatment plants, overhead service reservoirs and transmission networks.
Under the Atal Mission for Rejuvenation and Urban Transformation 2.0 (AMRUT 2.0), an allocation of Rs.665 crore has been made. Funds will be available across 149 urban local bodies to accelerate urban infrastructure improvements....
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