CLU rates slashed by 25%

BATHINDA: In a step aimed at providing relief to the crisis-ridden real-estate sector and to give an impetus to the construction of affordable buildings in the city, the state government has slashed 25 per cent rates of change of land use (CLU), urban development charges (UDC) and permission fee for all categories of buildings.

Sukhmeet Bhasin

Tribune News Service

Bathinda, March 21

In a step aimed at providing relief to the crisis-ridden real-estate sector and to give an impetus to the construction of affordable buildings in the city, the state government has slashed 25 per cent rates of change of land use (CLU), urban development charges (UDC) and permission fee for all categories of buildings.

This reduction in the CLU rates will help people who wanted to convert their residential buildings into commercial and will also boost traders.

The Municipal Corporation of Bathinda is also expecting to get good revenue from CLU as earlier people were not paying it due to high rates.

The state government has directed the corporation to implement the decision at the earliest. The MCB had already got the proposal of implementing new rates approved from the general house meeting held on March 14.

There are 20 roads in Bathinda on which CLU is imposed. The MCB gets revenue of around Rs 1.5 to 2 crore.

In the MC budget year 2017-18, it had kept the CLU target of Rs 1.80 crore and in 2018-19, it has kept it at Rs 2 crore.

CLU is implanted in scheme area and non-scheme area by the government. In scheme area, the government had fixed one rate and corporation takes Rs 2,143 per yard CLU, whereas in non-scheme area, there are different rates as per categories.

As per the new rates notified for residential plots on the national highway, it is Rs 1.88 lakh per acre, on the state highway the rate is Rs 1.50 lakh per acre and Rs 1.33 lakh on other roads.

For residential group housing, the rate is Rs 3.75 lakh per acre on the national highway, Rs 3 lakh per acre on the state highway and Rs 2.25 lakh on other roads.

For commercial, the rate is Rs 7.50 lakh per acre on national highway, Rs 5.25 lakh per acre on state highway and Rs 3.75 lakh per acre on other roads.

For marriage palaces, the rate is Rs 11.25 lakh per acre on national and state highway and Rs 7.50 lakh on other roads.

For petrol pump, it is Rs 1.88 lakh on national highway, Rs 1.50 lakh on state highway and Rs 1.13 lakh on other roads.

For sports, the rate is Rs 38,000 on national and state highways and other roads. For entertainment, the rate is Rs 2.25 lakh on national highway, Rs 1.50 lakh on state highway and Rs 75,000 on other roads.

For hospitals, hotels, multi-media centres, institutions, ware houses, industry and cold stores, there is no charge as CLU is exempted.

MC expects good revenue

This reduction in the CLU rates will help people who wanted to convert their residential buildings into commercial and will also give traders a boost.
The Municipal Corporation is also expecting to get good revenue from CLU as earlier people were not paying it due to high rates.