Rejecting Delhi Chief Minister Arvind Kejriwal's claim that EDMC could raise Rs 500 through advertisement revenue, civic officials today said low commercial value as well as limited space are prime reasons for poor earning from the sector, which stood at Rs 12 crore this fiscal.
In reply to a question by Leader of BJP-ruled EDMC House Ram Narayan Dubey, the Remunerative Projects Cell of the Corporation said East Delhi comprises mostly rural pockets, unauthorised colonies and unauthorised recognised colonies.
Advertisements in these areas have low commercial significance and value. Commercially-viable advertisement sources under the Corporation are are NH 24, Vikas Marg and GT Road.
Dubey sought the cell's view on Kejriwal's claim that EDMC could earn Rs 500 through advertisements.
Announcing a loan of Rs 551 crore to East and North Delhi municipal corporations during the civic employees strike last month, Kejriwal had alleged graft saying EDMC's advertisement revenue in the current fiscal is just Rs 12 crore.
"It should have been at least 20-25 times more. There is a scam here also. Illegal hoardings are owned by BJP leaders, the CM had charged.
The standing committee members said the advertisement revenue can be enhanced but it cannot fetch Rs 500 crore.
The highest monthly fee for Unipole advertising in East Delhi was only Rs 1 lakh, whereas in South Delhi Municipal Corporation even the minimum fee was higher than this amount, officials said, pointing to low commercial value of advertisements in EDMC areas.
Before its trifurcation, the erstwhile MCD had advertisement revenue of Rs 70 crore. After trifurcation into North, South and East corporations, EDMC's advertisement revenue was Rs 4.15 crore in 2011-12.
In later years, this revenue grew to Rs 7.39 crore in 2012-13, Rs 10.85 crore in 2013-14 and Rs 13.33 crore in 2014-15, the officials said.
