Agenda on sewerage cess hike, hefty penalties on traders put off

The MC House deferred two key revenue-generating proposals — increasing the sewerage cess and penalties on shopkeepers for encroaching on public spaces. Both proposals were postponed following opposition from councillors.

The MC had proposed increasing the sewerage cess from 20% to 30%, a move that would have increased water bills of residents. However, the proposal quickly sparked a heated political debate, with councillors from AAP and the Congress opposing the hike. Amid the backlash, the House deferred the agenda.

Last year, the sewerage cess was reduced to 20% to ease the financial burden on residents. The proposed hike was seen as a measure to boost revenue, but councillors argued that it would disproportionately affect the public.

The second proposal on increasing penalties for shopkeepers illegally occupying public spaces also faced stiff resistance. Currently, violators are charged Rs 2,000 for the release of impounded articles. The proposed amendments sought to impose fines of Rs 5,500 for first-time offenders and Rs 6,000 for repeat violations and a permanent seizure and auction of goods after the third offence.

However, councillors across party lines opposed the plan, citing concerns over corruption within the MC enforcement wing. AAP councillor Damanpreet Singh argued that higher fines would fail to deter encroachments and instead foster corrupt practices. “If the MC seizes articles worth ?2,000, shopkeepers will simply buy new items rather than paying the fine. Increased penalties will only encourage corruption. The focus should be on installing body cameras for enforcement staff, conducting more anti-encroachment drives, and taking legal action against encroachers,” he said.