Delhi cuts Jal Board infrastructure charges by up to 84.6% to boost business
The Delhi government has cut Delhi Jal Board infrastructure charges by 14.5-84.6 per cent for commercial, industrial and institutional establishments to reduce project costs and improve ease of doing business.
The Delhi government has sharply cut the Delhi Jal Board's infrastructure charges for commercial establishments such as banquet halls, hotels and industrial units, in a move aimed at improving ease of doing business.
According to an official order issued on Thursday, the revised rates for different categories of four-storey buildings on 1,000 square metre plots with a 150 floor area ratio provide relief ranging from 14.5 per cent to 84.6 per cent, depending on the category and type of establishment.
The Delhi Jal Board's infrastructure charges are levied on properties for new constructions and additions on plots between 150 sqm and 200 sqm. These charges have to be paid before the start of construction work on water and sewerage infrastructure management by the board.
Chief Minister Rekha Gupta had approved a revised and simplified infrastructure charge policy in May this year to reduce water and sewer-related charges across the city.
For commercial assembly spaces and banquet halls, the order said, "For commercial assembly and banquet halls, I&FC in A and B categories has been slashed from Rs 57.68 lakh to Rs 19.80 lakh, around 65.7 per cent reduction. Charges in C category have been reduced from Rs 41.20 lakh to Rs 19.80 lakh, while category D has witnessed a 19.9 per cent reduction, with charges coming down from Rs 24.72 lakh to Rs 19.80 lakh."
It added that projects in categories E and F will now pay Rs 9.90 lakh instead of Rs 16.48 lakh, a 39.9 per cent reduction, while in G and H categories, the charges have been reduced from Rs 16.48 lakh to Rs 5.94 lakh, a cut of 63.9 per cent.
Hotels have also been given relief under the revised structure. The order said, "Infrastructure charges for categories A and B have been brought down from Rs 57.68 lakh to Rs 24.06 lakh, a 58.3 per cent reduction. In category C, charges have been reduced by 41.6 per cent, from Rs 41.20 lakh to Rs 24.06 lakh."
Factories and industrial units have emerged as the biggest beneficiaries under the revised structure, which is expected to reduce the upfront cost of commercial projects.
The order said, "For four-storey industrial buildings, the charges for categories A and B have been slashed from Rs 57.68 lakh to Rs 8.91 lakh, an 84.6 per cent reduction. Category C has witnessed a 78.4 per cent cut, with charges reduced from Rs 41.20 lakh to Rs 8.91 lakh, while Category D will see a 64 per cent reduction, from Rs 24.72 lakh to Rs 8.91 lakh."
It added that E and F categories will get a 73 per cent reduction, with charges coming down from Rs 16.48 lakh to Rs 4.46 lakh, while G and H categories will get an 83.8 per cent reduction, with the fee reduced from Rs 16.48 lakh to Rs 2.67 lakh. "The substantial reduction is expected to lower the cost of setting up industrial projects and provide a major boost to manufacturing and industrial investment in the national capital," an official said.
Institutional buildings such as custodial, penal and mental health institutes have also been included in the revised structure. The order said, "For categories A and B, the charges have been reduced from Rs 54.93 lakh to Rs 37.58 lakh, a 31 per cent reduction.
The C and D categories have each received a 14.5 per cent reduction, with charges declining from Rs 43.95 lakh to Rs 37.58 lakh." It added that in E and F areas, the charges have been lowered from Rs 27.47 lakh to Rs 18.79 lakh, a 31.6 per cent reduction.
Officials said the new policy is meant to bring greater transparency, simplify the existing system and provide significant financial relief to residents and institutions, while reducing water and sewerage-related charges for a range of establishments in Delhi.
The Delhi government has sharply cut the Delhi Jal Board's infrastructure charges for commercial establishments such as banquet halls, hotels and industrial units, in a move aimed at improving ease of doing business.
According to an official order issued on Thursday, the revised rates for different categories of four-storey buildings on 1,000 square metre plots with a 150 floor area ratio provide relief ranging from 14.5 per cent to 84.6 per cent, depending on the category and type of establishment.
The Delhi Jal Board's infrastructure charges are levied on properties for new constructions and additions on plots between 150 sqm and 200 sqm. These charges have to be paid before the start of construction work on water and sewerage infrastructure management by the board.
Chief Minister Rekha Gupta had approved a revised and simplified infrastructure charge policy in May this year to reduce water and sewer-related charges across the city.
For commercial assembly spaces and banquet halls, the order said, "For commercial assembly and banquet halls, I&FC in A and B categories has been slashed from Rs 57.68 lakh to Rs 19.80 lakh, around 65.7 per cent reduction. Charges in C category have been reduced from Rs 41.20 lakh to Rs 19.80 lakh, while category D has witnessed a 19.9 per cent reduction, with charges coming down from Rs 24.72 lakh to Rs 19.80 lakh."
It added that projects in categories E and F will now pay Rs 9.90 lakh instead of Rs 16.48 lakh, a 39.9 per cent reduction, while in G and H categories, the charges have been reduced from Rs 16.48 lakh to Rs 5.94 lakh, a cut of 63.9 per cent.
Hotels have also been given relief under the revised structure. The order said, "Infrastructure charges for categories A and B have been brought down from Rs 57.68 lakh to Rs 24.06 lakh, a 58.3 per cent reduction. In category C, charges have been reduced by 41.6 per cent, from Rs 41.20 lakh to Rs 24.06 lakh."
Factories and industrial units have emerged as the biggest beneficiaries under the revised structure, which is expected to reduce the upfront cost of commercial projects.
The order said, "For four-storey industrial buildings, the charges for categories A and B have been slashed from Rs 57.68 lakh to Rs 8.91 lakh, an 84.6 per cent reduction. Category C has witnessed a 78.4 per cent cut, with charges reduced from Rs 41.20 lakh to Rs 8.91 lakh, while Category D will see a 64 per cent reduction, from Rs 24.72 lakh to Rs 8.91 lakh."
It added that E and F categories will get a 73 per cent reduction, with charges coming down from Rs 16.48 lakh to Rs 4.46 lakh, while G and H categories will get an 83.8 per cent reduction, with the fee reduced from Rs 16.48 lakh to Rs 2.67 lakh. "The substantial reduction is expected to lower the cost of setting up industrial projects and provide a major boost to manufacturing and industrial investment in the national capital," an official said.
Institutional buildings such as custodial, penal and mental health institutes have also been included in the revised structure. The order said, "For categories A and B, the charges have been reduced from Rs 54.93 lakh to Rs 37.58 lakh, a 31 per cent reduction.
The C and D categories have each received a 14.5 per cent reduction, with charges declining from Rs 43.95 lakh to Rs 37.58 lakh." It added that in E and F areas, the charges have been lowered from Rs 27.47 lakh to Rs 18.79 lakh, a 31.6 per cent reduction.
Officials said the new policy is meant to bring greater transparency, simplify the existing system and provide significant financial relief to residents and institutions, while reducing water and sewerage-related charges for a range of establishments in Delhi.
