At a time when the authorities are putting efforts for the smart city project, the Nellore Municipal Corporation is reeling under severe financial crunch. Recently, the power distribution utility had stopped power supply to the civic body over the non-payment of dues to the tune of Rs. 23 crore. However, the power supply was restored a few hours later after the authorities cleared dues of around Rs. 1 crore, promising that the remaining dues would be cleared soon.
According to the electricity officials, the municipal corporation owes Rs. 20 crore to the discom towards usage of motors and another Rs. 3 crore towards street lighting in the city and its surrounding areas.
Amid such developments, public criticism was gaining momentum on the bleak financial position of the municipal corporation and efforts to demolish encroachments for widening of arterial trunk road in Nellore.
There are concerns among traders and shop owners that the civic body would not be able to pay compensation under the road widening project, given its financial position. On the other hand, the opposition leaders, mainly from the Congress, were bringing in pressure on the government on sizeable compensation package for those affected by the road widening project.
