In a strategic move to foster equitable competition and eliminate monopolistic practices that have marred previous offline auctions, the Pune Municipal Corporation (PMC) has embraced an online lottery system for the allocation of firecracker stalls this year. This innovative decision has yielded significant results, with PMC announcing a remarkable surge in stall rents compared to the previous year.
Traditionally, firecracker stall allocations were carried out through offline auctions, a process often marred by controversies, including alleged bullying by political leaders. In response to these concerns and to ensure a level playing field for aspiring stall owners, PMC introduced the online lottery system. The feedback to this new approach has been overwhelmingly positive, with the lowest rent this year rising from Rs 24,100 to an impressive Rs 1,75,000.
The substantial increase in stall rents is evident, with locations that previously garnered Rs 25,000 now witnessing bids reaching as high as Rs 2,00,000. Not a single stall has been allocated for less than Rs 1,75,000. In stark contrast, last year, PMC’s maximum rent for firecracker stalls in any location was Rs 1,00,000. Remarkably, 16 locations received less than Rs 30,000 in rent last year, but the transition to the online lottery system has resulted in an eightfold increase this year.
PMC has designated 163 locations across 12 areas in the city for firecracker stalls. While the online auction system faced opposition and skepticism from firecracker entrepreneurs, PMC remains resolute in its commitment to the online lottery approach.
Additional Commissioner Vikas Dhakne has clarified that the auction will undoubtedly be conducted online, notwithstanding objections raised by some within the industry. The shift to online lotteries is anticipated to persist, provided any challenges with the process can be effectively addressed.
