Maharashtra Government's Outstanding Dues to BMC Total Rs 10,931 Crore; Payments to be Made Gradually
Synopsis
The Maharashtra government is set to clear its substantial dues to the BMC, totaling Rs 10,931 crore, in phases. This financial obligation encompasses various educational and departmental grants, with a commitment to resolve discrepancies in funding claims.
Key Takeaways
Maharashtra government owes BMC Rs 10,931 crore .
Payments will be made in phases .
Outstanding dues include education and housing grants.
Discrepancies in education funding claims exist between BMC and state.
Infrastructure projects worth Rs 1,41,356 crore are ongoing.
Mumbai, March 16 (NationPress) The government of Maharashtra is currently facing a significant financial obligation to the Brihanmumbai Municipal Corporation (BMC), amounting to Rs 10,931 crore in outstanding dues. This information was disclosed during the Legislative Council session on Monday, where the state assured that the payment will be made in multiple phases.
The pending dues encompass Rs 7,241.38 crore attributed to primary and secondary education grants, Rs 934.28 crore owed by the Housing Department, alongside outstanding property tax, sewage tax, and water tax from various state departments.
During the Question Hour, Industries Minister Uday Samant addressed inquiries from Shiv Sena (UBT) MLC Sunil Shinde, acknowledging the liabilities and assuring that the government would gradually fulfill its financial responsibilities to the civic body. He noted that the BMC is presently implementing infrastructure projects valued at Rs 1,41,356 crore.
Minister Samant highlighted a significant inconsistency between the BMC and the state's Education Department concerning pending education grants. While the BMC claims Rs 5,655 crore in unpaid grants, the Education Department asserts that approximately Rs 200 crore is owed.
According to Samant, this discrepancy arises because the BMC is requesting funds based on the Seventh Pay Commission, whereas the state plans to release grants per the Fourth Pay Commission.
He mentioned that Municipal Commissioner Bhushan Gagrani would be tasked with negotiating a resolution between the civic body and the state government. Furthermore, he assured that the Rs 86 crore owed to the BMC under the Right to Education (RTE) Act would be disbursed before the upcoming Monsoon Session.
The discussion led to a spirited exchange between Minister Samant and Shiv Sena (UBT) MLC Anil Parab.
Parab raised concerns regarding the increasing liabilities of the BMC despite the state owing it substantial amounts. He alleged that Rs 1,600 crore in development funds had been distributed to ruling party MLAs and MPs over the past three years.
Minister Samant referred to these allocations as the “price of courage,” which prompted a strong rebuttal from Parab, who labeled it the “price of betrayal.” Parab likened the funding to rewards once given by the Nizam to defectors.
Point of View
The Maharashtra government's commitment to settling its dues with the BMC highlights significant challenges in local governance and fiscal management. The discrepancies in education funding reveal deeper systemic issues that require immediate attention.
NationPress
20 Jun 2026
Frequently Asked Questions
How much does the Maharashtra government owe the BMC?
The Maharashtra government owes the Brihanmumbai Municipal Corporation a total of Rs 10,931 crore in outstanding dues.
What are the main components of the outstanding dues?
The outstanding dues include Rs 7,241.38 crore for education grants, Rs 934.28 crore from the Housing Department, and various unpaid taxes.
When will the dues be cleared?
The Maharashtra government has assured that the dues will be released in phases.
Why is there a discrepancy in education grant claims?
The discrepancy arises because the BMC is requesting funds based on the Seventh Pay Commission, while the state plans to release grants according to the Fourth Pay Commission.
What assurance was given regarding the Right to Education (RTE) Act dues?
Minister Samant assured that the Rs 86 crore due under the RTE Act would be paid before the Monsoon Session.
