Corpn mulls using CSR funds to run loss-incurring Amma canteens

According to a Chennai Corporation official, a proposal has been sent to the State government seeking permission to utilise CSR funds. “The plan is to constitute a special fund for Amma canteens.

Corporate firms, who wish to contribute the Amma canteens, can deposit the money under the special fund. The money will be used only for running the canteens,” the official said.

The proposal is based on a report submitted by a committee that was constituted to study the performance of Amma canteens and to propose measures to cut the losses. The committee also directed the field level officials to conduct survey among the customers to understand their needs and to consider adding new items to the menu.

Presently, the Chennai Corporation maintains 400 Amma canteens in 200 wards of the city apart from seven Amma canteens in major government hospitals. The civic body spends around Rs 140 crore per year to run 407 Amma canteens, but only manages to earn Rs 30 crore in return thus accruing a loss of Rs 110 crore every year.

Except for the rice, which is being supplied to the civil supplies department at Re 1 per kilogram, all the cooking items are being procured at market rate and all the expenses are met from the civic body’s coffers. Amma canteens sell one idli for Re 1, variety at Rs 5 and two chappatis at Rs 3.

As of now, the civic body has been utilising CSR funds to restore water bodies in the city apart from maintaining new parks. Apart from trying to get CSR funds for Amma canteens, the civic body is also trying to use the funds for solid waste management operation.