Amma Unavagams a costly affair for Greater Chennai as revenues fail to meet expectations

Updated - February 22, 2024 10:22 am IST - Chennai


Amma Unavagam at Royapuram, Chennai. File

Amma Unavagam at Royapuram, Chennai. File | Photo Credit: V. GANESAN

The Greater Chennai Corporation (GCC) has continued to face losses from Amma Canteens, popularly called Amma Unavagams. Launched in 2013, the canteens were the flagship programme of the then AIADMK government. It began with 407 outlets in the city and 10 years later, the number decreased to 399.

The tariff has been the same since its formation. All items are priced at ₹5, barring idly, which costs ₹1 and curd rice ₹3.

According to the budget estimate documents, the GCC has listed expenses for the canteens under payment to casual staff, maintenance, security charges, food safety licence, and equipment. Payments to casual staff account for a major share of the expenditure incurred. For financial year 2024-25, the civic body has estimated an expenditure of ₹41.7 crore towards this.

Mayor R. Priya, during the Council meeting on January 31, instructed GCC officials to take action against workers who violate rules in canteens within the civic body limits.

Income from Amma Canteens was estimated at ₹15.35 crore this fiscal. In the past, the estimated income has been consistently lower than the revised estimate announced every subsequent year.

For example, the estimated income in FY 2021-22 was ₹24.55 crore, but the figure was revised the following year to ₹12.4 crore – an almost 50% decrease.

For FY 2022-23, the budget income estimate was ₹14.55 crore and the revised estimate ₹14.45 crore. For FY 2023-24, the budget estimate said ₹15.85 crore would be generated, but the revised estimate announced this year put the figure at ₹14.55 crore.

Equipment allocation

Incidentally, the budget estimate for FY 2022-23 had revealed an expenditure of ₹22 lakh towards equipment for the canteens, but the revised estimate showed nil expense. Similarly, ₹2 lakh was listed as possible expenditure on equipment in FY 2023-24, but the revised estimate showed no expense.

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