Delhi Government Introduce Key Reforms in Infrastructure Schemes

To make the tracking of infrastructure projects effective, fast, and seamless, along with enhancing transparency and eliminating financial hurdles, the Delhi Government has introduced key reforms in the schemes like the Chief Minister Development Fund (CMDF) and the MLA Local Area Development Fund (MLALAD). Delhi Chief Minister Rekha Gupta said on Thursday that these changes are being done so that there is a boost in infrastructure development in the National Capital Region.

The Municipal Corporation of Delhi (MCD) can now use CMDF and MLALAD funds to carry out developmental projects across Delhi. Earlier, such projects could only be executed after the Irrigation and Flood Control Department (IFCD) or the Delhi State Industrial and Infrastructure Development Corporation (DSIIDC) had approved it.

“This often causes delay in completing smaller projects as these departments prioritise larger work. With this change, minor developmental work will now be handled more swiftly by the Municipal Corporation,” Sengupta said in her statement on Thursday.

The CM also noted that these changes have been made in releasing payments for these projects. “The first instalment, amounting to 10% of the estimated cost, will be released to executing agencies at the time of project approval. The second instalment, which along with the first instalment will make up 50% of the tender amount, will be released upon submission of the required documents,” said the CM.

The remaining 50% amount will be released on completion of the work, according to concerned officials. Gupta also emphasised that this reform will significantly reduce delays in payment to construction companies and contractors.