Major Relief in Delhi: Water and Sewer Infrastructure Charges Revamped by Rekha Gupta Government, Costs Slashed Significantly

Under the new framework, infrastructure charges for water and sewer connections will now be determined strictly on the basis of actual water demand. Previously, charges were calculated based on the entire premises. The revised policy applies only to new developments or additional construction within existing properties, ensuring that existing usage is not unfairly burdened.

Chief Minister Rekha Gupta stated that the reform has been introduced to enhance transparency, simplify the existing system, and provide substantial financial relief to residents and institutions across Delhi. She further clarified that under the revised policy, properties registered under Section 12AB of the Income Tax Act, including religious institutions, will receive an additional 50 percent rebate on water and sewer infrastructure charges.

The government has also announced a 50 percent reduction in sewer infrastructure charges for institutional and commercial properties that operate Zero Liquid Discharge (ZLD) systems and Sewage Treatment Plants (STP), subject to compliance with prescribed standards. However, authorities have warned that if any ZLD system is found to be non-functional or inactive, the granted exemption will be withdrawn. In such cases, a penalty of 0.5 percent per day will also be imposed.

According to government officials, the revised policy significantly reduces infrastructure charges across multiple property categories. In Category A and B colonies, a four-storey residential property on a plot larger than 200 square meters with 300 FAR earlier attracted charges of approximately 1.318 million rupees, which has now been reduced to around 540,000 rupees under the new policy.

Similarly, in Category E and F colonies, comparable properties will now incur charges of approximately 270,000 rupees, while in Category G and H colonies, the charges will be reduced to nearly 162,000 rupees. Residential properties in E and F categories will also be eligible for a 50 percent rebate, while properties in G and H categories will qualify for a 70 percent rebate.

Industrial properties have also received substantial relief. A 1,000 square meter industrial unit, which previously attracted infrastructure charges of around 5.767 million rupees, will now be charged approximately 891,000 rupees under the revised structure.

The government has emphasized that the policy is designed to rationalize infrastructure costs, promote compliance with environmental standards, and ensure equitable distribution of water and sewer-related charges across all property segments in Delhi.