Water demand-based model to replace area-based assessment
The Delhi Government on Friday announced a major overhaul of water and sewer infrastructure charges (IFC), shifting from an area-based assessment system to a water demand-based model that is expected to provide significant relief to homeowners, institutions and industries across the Capital.
Addressing a press conference at the Delhi Secretariat, Chief Minister Rekha Gupta said infrastructure charges levied by the Delhi Jal Board would now be calculated on the basis of actual water requirement instead of the total built-up area of a property.
Gupta said the revised policy would apply only to new constructions or additional constructions carried out on an existing property. Redevelopment projects that do not increase water demand would be exempt from the charges. Per the new model, open spaces, uncovered areas and non-FAR portions are not be included in the assessment of water demand or IFC calculations.
Gupta said the move was aimed at reducing the financial burden on citizens and making the system more transparent and citizen-friendly. “The objective is to provide relief to people while strengthening water and sewage infrastructure in Delhi,” she said.
Under the revised policy, properties in E and F category colonies will receive a 50% concession in infrastructure charges, while residents of G and H category colonies will be eligible for concessions of up to 70%.
The government also announced an additional 50% concession for residential units measuring up to 50 square metres built on plots larger than 200 square metres. Religious and charitable institutions registered under Section 12AB will also receive an additional 50% concession.
In a push for environmental compliance, commercial establishments and institutions adopting zero liquid discharge (ZLD)-based sewage treatment systems would be eligible for up to 50% concession in sewer IFC. However, the concession will be withdrawn if inspections find the sewage treatment plants non-functional or not operating as per prescribed standards, and a penalty of 0.05% per day will also be imposed on the concession amount granted earlier, the CM added.
Water Minister Parvesh Verma alleged that the previous IFC system introduced under the Aam Aadmi Party government had become “a tool of harassment” due to complex area-based calculations that included FAR, balconies and staircases. He said the revised framework would eliminate arbitrary measurements and reduce corruption and repeated visits by residents to government offices. Verma claimed that in several cases where residents earlier had to pay Rs 15-16 lakh as infrastructure charges, the revised system could reduce the amount to around Rs 2-3 lakh. The minister added that plots measuring up to 200 square metres would continue to remain exempt from infrastructure charges.
