PMC fails to utilise ₹250 crore G-20 summit funds; ₹70 crore to be returned
Poor planning, neglect of development, and mismanagement by officials have resulted in the return of funds, raising questions about who is responsible
Of the ₹250 crore received from the state government for city development during the G-20 summit, the Pune Municipal Corporation (PMC) will have to return ₹70 crore as it failed to use the funds in the past two years.
Poor planning, neglect of development, and mismanagement by officials have resulted in the return of funds, raising questions about who is responsible. The International G-20 Summit meetings were held in Pune in January and November 2023 to promote sustainable development. Preparations for the event began in 2022. The city bagged the major national project with representatives from 20 countries and delegates from the World Bank and Asian Bank attending.
During the summit, beautification, road repairs, and other development works were carried out in the city. For these preparations, the government initially allocated ₹50 crore to PMC, followed by an additional ₹200 crore. PMC proposed projects amounting to nearly the entire fund and submitted a list to the government. However, the administration failed to utilise the full amount.
The government has asked for return of unused funds due to financial pressure caused by welfare schemes launched before the assembly elections. The unspent grants include funds allocated since the 2022-23 financial year.
One of the PMC accounts department senior officials said, “Of the ₹50 crore initially given to PMC for G-20 preparations, only ₹37 crore was used while works worth ₹13 crore remained on paper. Similarly, from the ₹200 crore provided later, we spent ₹143 crore for ongoing projects and ₹57 crore was unspent. As a result, the government has sent a letter requesting return of ₹70 crore.”
PMC is hurrying to avoid returning the unspent funds to the government. It has proposed new projects from the remaining funds, and the approval process is in its final stages. In November, the corporation requested an extension of the spending deadline until March 31, 2025. Despite this, the administration is under pressure as the government has once again demanded return of the unspent money. The funds remained unused because work orders were not issued, even though tenders were finalised.
According to an order from Shrikant Andge, deputy secretary of urban development, issued on July 10, the unspent amount, along with any accrued interest, must be returned. PMC is gathering details about fund allocation from various departments.
