Pune: 80% Compensation Cleared Despite Just 30% Road Work, Says PMC Standing Committee Chief
Pune, 17th April 2026: Alleging major irregularities in credit notes issued by the Pune Municipal Corporation (PMC) against construction of roads under the Public-Private Partnership (PPP) model, standing committee chairman Shrinath Bhimale on Friday claimed that only around 30% of the road work had been completed while nearly 80% of the compensation had already been availed by developers.
Bhimale said the civic body would inspect all road projects executed under the PPP model to verify the actual progress of work and examine whether credit notes were issued in proportion to completed construction.
For the past few years, the PMC has been developing roads proposed in the Development Plan (DP) through the PPP route. Instead of making direct payments to contractors or developers, the civic body issues credit notes, which can be used to pay property tax, development charges and other municipal dues.
According to civic records, PMC has so far issued credit notes worth Rs 950 crore to Rs 1,000 crore for such projects. During a recent standing committee meeting, Bhimale sought details from the administration regarding the issuance of credit notes and corresponding road works. He has directed officials to submit a detailed report.
“We have received information that several PPP road projects are not progressing properly. If only 30% of the work has been completed, how were 80% of the credit notes utilised? This will be verified through physical inspection,” Bhimale said.
Several PPP road projects were undertaken in rapidly developing areas such as Viman Nagar and Kharadi, where developers were entrusted with constructing roads to improve access to their project sites.
The PPP model was introduced to reduce the PMC’s immediate financial burden by allowing developers to build roads first and later recover the value through credit notes. However, Bhimale’s allegations have raised questions over monitoring and execution of the scheme.
