Rs50-crore bailout deal for pmpml

The state government on Thursday directed the Pune and Pimpri-Chinchwad municipal corporations to provide Rs50 crore to the Pune Mahanagar Parivahan Mahamandal Ltd (PMPML) to cover its

revenue deficit. The state government on Thursday directed the Pune and Pimpri-Chinchwad municipal corporations to provide Rs50 crore to the Pune Mahanagar Parivahan Mahamandal Ltd (PMPML)

to cover its revenue deficit. Pune mayor Mohansingh Rajpal told reporters in the city that the decision was taken at a meeting organised in Mumbai on Thursday. Deputy chief minister Ajit

Pawar, urban development secretary Manu Kumar Shrivastav, Pune municipal commissioner Mahesh Pathak and his Pimpri-Chinchwad counterpart Ashish Sharma, and PMPML chairman and managing

director Ramchandra Joshi were present. Rajpal said the state government put the proposal that the Pune Municipal Corporation (PMC) and the Pimpri-Chinchwad Municipal Corporation (PCMC)

should cover the revenue gap of PMPML. The transport utility’s annual deficit stood at Rs50 crore. The PMC should bear 60% of the burden, while the PCMC should provide the remaining amount.

Thus, the PMC would be required to pay Rs30 crore, while the PCMC would shell out Rs20 crore. He said the proposal for financial aid by PMC to the PMPML would be put before the standing

committee for approval. Meanwhile, Jugal Rathi, president of PMP Pravasi Manch, an association of PMPML passengers, told DNA that the state government’s initiative was welcome, but not

enough. The civic bodies should provide financial assistance to the transport utility, apart from the budgetary provision made in the annual budget. Also, the PMPML should be given financial

assistance as it is suffering from losses. Rathi said that in order to provide satisfactory service to the PMPML passengers, the PMC should provide Rs150 crore every year along with Rs100

crore each by the PCMC and the state government.