(1)The Government may, after making such inquiry, as it may deem fit, and having regard to -(a)The population of any urban area;(b)The density of population therein;(c)The revenue generated for the local administration of such area;(d)The percentage of the employment in non-agricultural activities;(e)The economic importance of such area; and(f)Such other factors, as may be considered relevant;by notification, declare it's intention to create and specify municipal areas.Provided that such declaration may be made as Municipal Council area where the population of such area is 20,000 and above and Town Council area for such area where the population is below 20,000 but not less than 5,000.Provided further that the State Government may declare a smaller urban area having a population below 5,000 and not less than 1,000 as Urban Station Committee area.
