When asked about the Rs 303 crore funds, he clarified that it is a compensation for cantonment land acquired for elevated corridor projects, mandated by law. “That amount cannot be treated as financial assistance to the cantonment.”
Hyderabad: The Secunderabad Cantonment Board (SCB) is struggling to keep its basic civic machinery running, with its income barely enough to pay staff salaries as key revenue streams have dried up while dues from the Centre and the state continue to get delayed.
Once a financially stable civic body, the cantonment today finds itself unable to fund even routine development works. Officials say rising expenditure and falling income have left little room for road repairs, sanitation upgrades, water infrastructure works, or public amenities.
A senior Secunderabad Cantonment Board official said the Cantonment currently earns about Rs 40 crore annually through property tax. “Earlier, we also received nearly Rs 20 crore every year through octroi and toll tax, which supported basic civic works,” he said. Those sources were withdrawn about a decade ago, first with the scrapping of toll tax and later with the removal of octroi after the rollout of the Goods and Services Tax.
The official pointed out that while businesses within the cantonment are estimated to generate over `100 crore annually through Goods and Services Tax, the revenue is shared between the Centre and the State. “Nothing from this comes back to the cantonment, even though civic services are being provided here,” he said.
Another major concern is unpaid statutory dues. Under the Transfer of Property Tax system, Secunderabad Cantonment is entitled to receive around Rs 25 crore every year. However, non-payment over several years has pushed arrears to nearly Rs 80 crore. “These are legitimate dues, but they have not been cleared despite repeated representations,” the official said.
Service charges payable by central government establishments and public sector units within the cantonment have also not been settled. Charges owed by the Army for civic services such as roads, drainage, and street lighting have accumulated over decades, with total arrears now exceeding Rs 1,200 crore. “If even a portion of this amount had been released on time, the condition of civic infrastructure would have been very different,” the official told Deccan Chronicle.
When asked about the Rs 303 crore funds, he clarified that it is a compensation for cantonment land acquired for elevated corridor projects, mandated by law. “That amount cannot be treated as financial assistance to the cantonment,” he said.
With most revenue being consumed by salaries and little left for development, officials say sustained intervention is needed to clear dues and restore a stable funding flow, warning that civic services in the cantonment could worsen further if the situation continues.
