Muththalib calls for MVR 150 million in vehicle fees to be redirected to state budget

Minister of Housing, Land and Urban Development Dr Abdulla Muththalib has called for the government to redirect approximately MVR 150 million collected annually in vehicle fees from the Malé City Council to the state budget, citing the council's handling of road maintenance.

The minister made the remarks during Monday's sitting of the People's Majlis while responding to a question from Machangolhi MP Ahmed Zameer of the ruling People's National Congress (PNC).

Zameer said the Malé City Council receives between MVR 130 million and MVR 140 million each year from annual vehicle fees collected in Malé, but questioned the council's approach to road maintenance.

"We only see paving blocks being pulled up and flipped around. Therefore, what is the government's plan regarding the construction and development of Malé's roads?" Zameer asked.

In response, Muththalib said the council receives around MVR 150 million annually in vehicle fees from Malé and Hulhumalé but was not adequately maintaining roads.

He said responsibility for road construction and maintenance rests with the council and criticised its handling of roads that are excavated for utility works.

"Road construction and maintenance is a responsibility entrusted to them. Yet, after granting permission to dig up asphalt roads laid by the central government and leaving them damaged, the council does not even possess the capacity to repair them properly," Muththalib said.

The minister said his ministry had previously shared guidelines with the council on road excavation and reinstatement procedures.

"Failing to build the capacity to mix and lay asphalt for road repairs despite receiving MVR 150 million strikes me as a failure to fulfil council duties. We need to investigate where this money is actually going," he said.

Muththalib added that although the revenue is collected by the council, the central government is often required to repair deteriorated roads after excavation work authorised by the council.

"Our ministry is not supposed to be a maintenance body; we are a project implementation authority. However, every time roads deteriorate and cause public inconvenience, our ministry is forced to step in and structure a project to resolve it," he said.

The minister said he believes the vehicle fee revenue should instead be allocated to the central government.

"I do not believe the City Council should receive this MVR 150 million. I request that this portion be removed from the council's budget and redirected to the central government budget," he said.

According to Muththalib, redirecting the revenue would enable the government to carry out road construction and maintenance more effectively.

He also noted that several sections of Ameenee Magu, excavated under permits issued by the council, remain unfinished, with some areas covered only by paving blocks and others yet to be resurfaced with asphalt.