A massive reduction in the Kozhikode Corporation's Plan fund from ₹132 crore to just ₹23 crore has ignited a fierce political battle between LDF, UDF, and BJP in the council meeting.

Key Takeaways

  • The State government slashed the Corporation’s Plan fund from ₹132 crore to ₹23 crore.
  • Only ₹9 crore has been earmarked for development, stalling ward-level projects.
  • Political clashes erupted between LDF, UDF, and BJP councillors.
  • The Corporation plans to boost its own revenue to mitigate the crisis.

KOZHIKODE: The Kozhikode Corporation Council witnessed a high-decibel political clash on Tuesday following a drastic reduction in the city's Plan fund. Development Standing Committee Chairman V.P. Manoj revealed that the State government has slashed the Corporation's fund from ₹132 crore to a mere ₹23 crore, leaving the civic body in a financial bind.

The funding crunch has paralyzed the implementation of the 2026-27 annual Plan. According to Mr. Manoj, the proposed allocation of ₹30-35 lakh per ward for local development is no longer feasible, as only ₹9 crore has been set aside for the entire development sector. This has raised serious concerns regarding the continuity of essential civic projects.

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Why This Matters

BozokMedia analysis shows that such significant fiscal shifts at the state level can cripple local governance. When municipal funds are abruptly withdrawn, it creates a ripple effect, delaying infrastructure, sanitation, and public welfare projects that are crucial for urban stability.

The sudden withdrawal of ₹109 crore threatens to derail years of planned urban infrastructure development.

The council meeting turned into a battlefield of accusations. S.V. Mohammed Shameel Thangal, Leader of the Opposition (UDF), argued that the previous LDF government's unrealistic financial projections forced the current administration to rationalize expenditures to fix a ₹20,000 crore revenue shortfall. Conversely, Congress councillors alleged that the Corporation administration had failed to secure nearly ₹150 crore from the State over the last decade.

BJP councillors Nambidi Narayanan, Navya Haridas, and T. Raneesh criticized the political bickering, stating that the blame game does nothing to solve the citizens' problems. In response to the crisis, Mayor O. Sadasivan and Deputy Mayor S. Jayashree acknowledged the setback and stated that the Corporation would focus on enhancing its own revenue streams to bridge the gap.

Frequently Asked Questions

1. How much was the Plan fund reduced in Kozhikode?
The fund was reduced by ₹109 crore, dropping from ₹132 crore to ₹23 crore.

2. What is the impact on local wards?
The reduction makes it nearly impossible to fund ward-level development works like local roads and amenities.

Did You Know?: Municipal corporations rely on a combination of state grants and local taxes to maintain urban infrastructure.