Development charges hiked up to 7 times

Deepender Deswal

Tribune News Service

Hisar, October 6

The state government has increased the development charges for all purposes in the urban areas from double to seven times.

The Urban Local Bodies (ULB) Department, in its order dated October 4, stated that the development charges for the residential, industrial and institutional use in the municipal areas in Gurgaon and Faridabad would be Rs1,250 per square metre and it would be Rs1,000 per square metre in other municipal corporations of the state. Similarly, the municipal councils and municipal committees would charge Rs750 and Rs500 per square metre, respectively.

The development charge in the commercial areas, too, has been increased to Rs2,500 in Gurgaon and Faridabad, Rs2,000 in municipal corporations, Rs1,500 in municipal councils and Rs1,000 in municipal committees for the each square metre area.

Anand Mohan Sharan, Principal Secretary, ULB, stated in the order that the rates would be applicable with immediate effect in the entire state.

Moreover, the order states that all building or plot owners existed before notification of the municipality have to pay the development charges while seeking permission for re-erection or new construction of buildings or occupation certificate.

Even for those who have already paid the development charges and desire to seek permission for future, than the owner has to pay difference of the development charge earlier paid and applicable as on the date of the fresh permission. It also made provision of increase of the charges at the rate of 10 per cent after every five years.

The Urban Local Bodies had so far been charging the development fee for Rs120 per square yard in the municipal corporation areas and Rs30 per square yard in the municipal committee areas.

Sources said that now, the fresh charges were being charged for per square metre of the land.