MSSCs Receive Rs 50 Crore Central Grant to Strengthen Local Bodies

Vijayawada: Ministry of Housing and Urban Affairs has recommended a grant of Rs 50 crore under the 15th Finance Commission for the Municipal Shared Service Centres (MSSCs) pioneered by the Andhra Pradesh government.

The central ministry has already released the first instalment of Rs 25 crore has been released, marking a significant step towards strengthening governance and financial sustainability within the local bodies of AP.

Principal secretary (Municipal Administration and Urban Development) S. Suresh Kumar said the MSSC initiative will modernise urban service delivery across 123 urban local bodies (ULBs), making Andhra Pradesh a frontrunner in municipal reforms. These centres are designed to address challenges like manpower shortages, fragmented systems, and low revenues by pooling resources and leveraging technology.

The MSSCs will strengthen property tax mobilisation, unlock underutilised municipal land and assets through PPP and O&M frameworks, modernise water management by promoting wastewater reuse, and bring energy efficiency to infrastructure, such as street lighting, water supply, and sewerage networks. ICT-based citizen services, including digital identities, GIS mapping, and ERP systems, will ensure greater transparency and accessibility.

On citizen-centric services, Suresh Kumar pointed out that MSSCs will integrate 29 municipal services across backend, frontend and field operations. These include payroll and pension management, GIS-based planning, tax collection and asset monitoring.

At the citizens’ interface, a unified platform and ward-level service centres will make available services, like birth, death, and marriage certificates, trade licenses, property approvals, and grievance redressal.

Suresh Kumar stated, “Doorstep delivery, QR-enabled mobile revenue collection, encroachment detection, and special services for senior citizens and vulnerable groups are expected to enhance efficiency and citizen satisfaction. Drone-based property surveys will support transparent tax administration by creating QR-coded household identities.

Commissioner and Director of Municipal Administration will be the nodal agency for MSSCs, while Andhra Pradesh Urban Infrastructure Asset Management Limited (APUIAML) will design and implement the initiative.

The principal secretary underlined that the MSSC model will be a replicable framework for efficient, accountable and citizen-first municipal governance across India.