Advanced Search
MyIDEAS: Login to save this paper or follow this series

Are User Charges Underutilsed in Indian Cities? An Analysis for Delhi

Contents:

Author Info

  • Simanti Bandyopadhyay

    ()
    (National Institute of Public Finance and Policy)

  • Debraj Bagchi

    ()
    (Centre for Budget and Governance Accountability)

Registered author(s):

    Abstract

    The Commissioner of Municipal Corporation of Delhi (MCD) had recommended certain measures in December 2011 to improve the revenues of the corporation and thereby narrow the existing budget gap. These included introduction of congestion and conservancy charges and revision of rates for parking fees, one time parking charges, fees from mobile towers and property taxes, thus mainly focusing on the augmentation of the non-tax revenues. However, due to social resistance and lack of political will, none of these recommendations were implemented. In this paper we have attempted to quantify the potential revenue gains that may have resulted had the recommendations been accepted. Through a simple simulation based analysis, we find that with the implementation of the recommendations, increases in the own revenues could be between 10 per cent to 21 per cent while that in total revenue could be between 7 per cent to 15 per cent. We also find that with the reccommendations being implemented, own revenues would be able to cover about 77 per cent to 85 per cent of the revenue expenditure and total revenues would be able to account for about 74 per cent to 80 per cent of the total expenditure. Further, the share of non tax revenues in the total revenues would also rise which suggests that the corporation would be in a better position to exploit its potential for non tax revenues and move towards greater self reliance with lesser dependence on tax revenues. Finally, we find that the major share of gains would come from ‘one time parking charges’ followed by property taxes and other components.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://icepp.gsu.edu/sites/default/files/documents/icepp/wp/ispwp1326.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University in its series International Center for Public Policy Working Paper Series, at AYSPS, GSU with number paper1326.

    as in new window
    Length: 26 pages
    Date of creation: 18 Dec 2013
    Date of revision:
    Handle: RePEc:ays:ispwps:paper1326

    Contact details of provider:
    Phone: 404-413-0235
    Fax: 404-413-0244
    Web page: http://aysps.gsu.edu/isp/index.html

    Related research

    Keywords: Urban Finance; User Charges; Property Tax; Revenue Potential; Expenditure Requirements; Service Delivery.;

    This paper has been announced in the following NEP Reports:

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. William Fox & Kelly Edmiston, 2000. "User Charge Financing of Urban Public Services in Africa," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0004, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    Full references (including those not matched with items on IDEAS)

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:ays:ispwps:paper1326. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Paul Benson).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.