MCD commissioner now holds financial powers for waste management contracts

The Delhi government on Monday issued an order delegating the financial powers of the Standing Committee to MCD Commissioner Ashwani Kumar, allowing him to approve proposals requiring expenditures of Rs 5 crore and above for various municipal solid waste management contracts.

A political slugfest erupted between the Aam Aadmi Party and the Lt Governor's office over the issue as both accused the other of delaying the passage of the order.

The move comes amid a political deadlock between the ruling AAP and opposition BJP in the MCD over the constitution of the Standing Committee, the highest decision-making body of the civic body, which otherwise had the authority to approve contracts exceeding Rs 5 crore.

The formation of the Standing Committee has been delayed for over 19 months and the matter is currently in the court.

According to the order issued by the urban development department, the Delhi government has exercised its powers under Section 202(c) of the Delhi Municipal Corporation Act, 1957, allowing the commissioner to execute solid waste management contracts in the absence of the Standing Committee.

It has also set limits for specific solid waste management contracts that the commissioner can now execute.

"On account of non-constitution of the Standing Committee, the contracts relating to management of municipal solid waste could not be executed, leading to a situation that the Municipal Corporation is facing difficulties in meeting its obligatory functions.

"... the Government of National Capital Territory of Delhi hereby fixes the following limit with respect to the specific solid waste management contracts as specified below, wherein the commissioner may execute the contract," the order stated.

The contracts include the collection and transportation of municipal solid waste in the Central Zone, with a budget cap of Rs 1,137.98 crore; the establishment of a Municipal Solid Waste (MSW) to Energy Facility at Narela-Bawana with a capacity of 3000 TPD, budgeted at Rs 604.26 crore; and the bio-mining of legacy waste silt at Singhola for Rs 46.17 crore.

Additionally, budget caps have been set for bio-mining of legacy waste at three dump sites: Okhla at Rs 156.45 crore, Ghazipur at Rs 223.50 crore, and Bhalaswa at Rs 223.50 crore.

While the MCD commissioner is now authorised to execute these contracts, the order also stated that details of each contract must be communicated to the Standing Committee once it is constituted.

The commissioner is also required to "exercise the said powers, by ensuring that the relevant codal and General Financial Rules are strictly adhered to, and appropriate mechanisms for seeking advice from the finance unit of the Corporation are put in place," the order added.

Meanwhile, LG VK Saxena's office and the AAP accused each other of causing delays in processing the order. The LG's office said that the order was pending with the Urban Development Ministry, and blamed Saurabh Bhardwaj, the minister, for his "intransigence".

The AAP countered that the file was approved on the same day it was received and demanded accountability from the LG regarding the alleged inaction that led to the delay in processing the file.

In a statement, the AAP said, "The LG should publicly disclose what action he will take against those officers, who have delayed the processing of file despite of the approval of the Minister (UD), Saurabh Bharadwaj on 06.09.2024."

"If the LG Saheb does not take any action against any of those officers, who have delayed this file, it will be obvious that it was only on the directions of the LG Saheb that this file was delayed in processing and now when Supreme Court is about to hear this matter, this file has been finally approved by the LG Saheb," it said.