Pune Civic Chief Advocates for Monetisation of Amenity Spaces via PPP

Pune municipal commissioner Naval Kishore Ram has indicated his intent to take bold decisions to unlock the revenue-generating potential of Pune Municipal Corporation (PMC)-owned properties, particularly amenity spaces that remain underutilised or mismanaged.

Citing PMC’s growing financial burden, Ram highlighted the need for a more sustainable revenue model. “We maintain nearly a thousand civic properties and spend close to ₹4,000 crore annually, but barely recover ₹2,000 crore. That’s a broken revenue model,” he said. Ram provided an example of the auditorium in Yerawada, one of the finest in the state, where the corporation charges just ₹1,000 for public use, while the maintenance cost is ₹2,000 a day.

Referring specifically to amenity plots, Ram said many such spaces across Pune are turning into garbage dumps due to administrative inertia and fear of public criticism. “We’re sitting on thousands of amenity spaces meant for hospitals, schools, parking zones, or sports complexes but we don’t build anything because of hesitation. There’s always this fear ‘agar diya toh koi bolega ghotala ho gaya (If we give it to someone people will say a fraud has happened),’” he said. “But we can’t let fear dictate policy. If a plot is reserved for a sports complex and PMC lacks the funds to build it, then let private developers take it up under PPP. Build it, share a portion of the revenue, and maintain the public purpose.”

Ram emphasized that the reluctance to engage private players through structured PPPs is hurting the city’s growth. “People are afraid of the word ‘PPP’ as if it’s synonymous with something different. But unless we involve credible private investment, how will Pune move forward?” he asked. He assured that all upcoming projects would follow transparent processes and sought public support in case of criticism: “When the noise begins, I’ll need you to back me.”

In recent years, PMC has increasingly adopted the PPP model for roads and infrastructure projects, partnering with private entities to finance, build, and operate key public assets. According to civil society forums, while these models have helped bridge financial gaps and accelerate delivery, they also require robust regulation to avoid misuse and ensure public benefit.

In August 2021, PMC approved a policy to lease over 270 amenity spaces to private entities under a PPP model for up to 90 years, allowing limited commercial use. The move drew criticism from several citizen forums and NGOs, who argued it undermined the public nature of these spaces. In response to a PIL, the Bombay High Court in February 2022 directed PMC to state in all future layout approvals that they are subject to the PIL’s outcome. Critics argue the policy threatens civic infrastructure, especially in newly merged areas.