Delhi To Verify Large Buildings Over Unpaid Rs 2,000 Crore Infrastructure Charges
The Delhi government has launched a verification exercise targeting buildings across Delhi that have failed to pay mandatory Infrastructure Charges (IFC) to the Delhi Jal Board (DJB). Water Minister Parvesh Sahib Singh recently announced the crackdown, warning that non-compliant properties constructed over the last five years face potential sealing and seizure as the government seeks to recover an estimated Rs 2,000 crore in lost revenue.
An internal inquiry revealed that nearly 70 percent of properties in the category of 3,000 square metres and above have not paid the mandatory charges. The Municipal Corporation of Delhi (MCD) has already identified approximately 300 such properties, with more expected to be uncovered as the exercise continues. These properties are currently being categorised into commercial and residential groups.
According to Minister Singh, the government has requested details from the MCD regarding buildings that secured building and layout plan approvals using clearance letters from engineers rather than the mandatory No Objection Certificate (NOC) from the DJB. Normally, property owners must pay the IFC and obtain a DJB clearance before the MCD approves construction plans.
Officials suspect collusion between builders and DJB officials. In some cases, builders constructing large housing complexes allegedly settled matters through engineers and retired officials instead of paying the full fee, which can be as high as Rs 20 crore for a single complex. An inquiry has been launched to investigate these irregularities.
Properties found in violation will be required to pay the pending IFC along with a penalty. The government will decide whether to calculate the penalty based on previous or current IFC rates once the inquiry report is released.
IFC is a mandatory charge paid by homebuyers or builders for essential infrastructure like water connections, sewer lines, pipelines, and roads. It is levied on new constructions and additions on plots larger than 200 square metres. In May this year, the government simplified the IFC structure, offering a 50 percent rebate for properties in E- and F-category colonies, and a 70 percent rebate for G- and H-category colonies.
