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Saturday December 14, 2024

Mansehra TMA facing crisis: official

By Our Correspondent
December 15, 2023

MANSEHRA: The tehsil municipal administration has been facing a financial crisis as its revenue has dropped significantly, an official said on Thursday.

Tehsil Municipal Officer Mazhar Muzafar Awan told reporters that the TMA Mansehra, being one of a few A-grade entities in the province, had been grappling with a monthly spending of over Rs35 million, while its revenue has plummeted to Rs12 million.

Tehsil Municipal Officer Mazhar Muzafar Awan (c) while reviewing the operations on December 14, 2023. — Facebook/Tehsil Municipal Administration Mansehra
Tehsil Municipal Officer Mazhar Muzafar Awan (c) while reviewing the operations on December 14, 2023. — Facebook/Tehsil Municipal Administration Mansehra

The TMA is releasing Rs20 million for employees’ monthly salaries, Rs5.5 million for electricity units incurred in water supply schemes, and additional overhead charges.

Despite the TMA’s services expanding to 11 neighbouring councils from the previous 5, the revenue has decreased. Awan expressed concern about the decline in revenue, stating that his TMA used to receive Rs380 million annually from the Provincial Finance Commission, which has not been received for the last three to four years, putting additional pressure on its finances.

“We have been collecting a 2 percent municipal levy on property sales and purchases, which has declined by almost over 90 percent since the federal government increased overall sales and purchase taxes from the existing 4 per cent to 21 per cent under the same head,” Awan explained.

The TMO emphasised that if the current situation persisted, the TMA might struggle to pay employee salaries and might have to withhold civic services to citizens.