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Delhi land use regularisation charges slashed


New Delhi : The government Wednesday drastically reduced the charges to be paid by owners of commercial units in residential areas of Delhi to continue their businesses under the Master Plan of Delhi (MPD), 2021.

"Generally, the annual conversion rate has been reduced by two-third of the existing rates for all categories," said Union Urban Development Minister S. Jaipal Reddy.

He also announced a number of concessions to enable people owning property in the areas marked for "mixed use" – commercial activities in residential areas under the MPD – to avail of the new rates before the deadline of June 30.

He recalled that the Delhi Development Authority (DDA) in its Nov 20, 2006 notification fixed the charges to be paid for mixed use of residential premises in areas notified under the MPD, subject to certain conditions.

"One of the conditions is that the owner/allottee gets the premises registered with the local body on payment of the registration fee and payment of mixed use charges every year to the local body by June 30 and also one-time development charges for parking," said Reddy.

Conceding that these charges were on the higher side, the minister said, "I appointed a committee comprising officials of DDA, MCD (Municipal Corporation of Delhi) and NDMC (New Delhi Municipal Council) to suggest revised conversion rates."

Reddy said the charges were so high that "the response to the scheme for conversion is very poor and less than one percent of the affected persons have come forward to make the payment so far."

"Since there are only a few days left for payment, a facility is provided to pay one-fourth charges by June 30 and the remaining by Sep 30. In addition, a facility to make a one-time payment (as against annual charges) is being provided which will be eight times of the proposed (reduced) annual charges," said the minister.

"One-time development charges for parking can also be paid in two instalments of which one-third is to be paid by June 30 and the remaining by March 31 next year."

The DDA is issuing the necessary notification specifying the new charges, he said.