Rajmeet Singh
Tribune News Service
Chandigarh, April 4
The Local Government Department is reviewing the ‘Punjab Municipal Outdoor Advertising Policy, 2018’ to plug loopholes and increase revenue by leasing out outdoor advertising contracts.
The factors such as prolonged litigation over advertising contracts and bifurcation of civic bodies into zones are being looked into. The policy was framed during the tenure of former Local Government Minister Navjot Singh Sidhu.
Sources said instead of allowing single tender of outdoor advertising contracts, especially in big cities such as Ludhiana, Jalandhar, Amritsar and Patiala, bifurcation of advertising sites into zones is under consideration. The logic being given is it would result in better completion, increase in revenue and check illegal use of the outdoor sites.
It may be mentioned that recently the Department had allowed the rollback of 50 per cent of licence fee being charged from outdoor advertisement contractors citing the Covid-19 pandemic, resulting in revenue loss.
CVO to submit report on covid relief
Local Government Minister Brahm Mohindra directed the Secretary, Local Government, to seek a report from the Chief Vigilance Officer on the reported loss due to the relief of licence fee given to advertisers during pandemic
There are reports that in Ludhiana cluster alone, the revenue loss to the department during the nine-year contract period could touch Rs190 crore
In Mohali, the annual revenue loss is likely to be Rs10.80 crore and in Kharar cluster, it could be Rs20 crore
The relief has been offered to outdoor advertisement contractors for the entire contract period, varying from seven to nine years. In contrast, departments such as transport, housing and others had waived government levies either till December 31, 2020, or deferred arrears of taxes, without interest and penalty, till March 31, 2021.
Unlock Exclusive Insights with The Tribune Premium
Take your experience further with Premium access.
Thought-provoking Opinions, Expert Analysis, In-depth Insights and other Member Only Benefits
Already a Member? Sign In Now