MCD’s user charge of ?30,000 to ?1,50,000 – service-less, communication-less and anti-industry decision

Mahesh Dhoundiyal - Delhi

Mass protest by industrial organizations of East Delhi, demand for withdrawal of policy

Dissatisfaction is deepening among the capital’s industries over the sudden imposition of user charges on industrial areas by the Municipal Corporation of Delhi (MCD). This protest, led by the Friends Colony Industrialist Association, has now become a mass movement of organizations from all over East Delhi.

User charge rates — a direct economic blow

The new charges levied by the MCD are as follows:

• Units with an area of ??100–250 sq m: ?30,000 per annum

• 251–1000 sq m: ?60,000 to ?1,00,000

• Above 1000 sq m: ?1,50,000 per annum

This charge is being levied in the name of solid waste management, while the ground reality is that the MCD is neither providing regular garbage pickup facilities to the industries, nor are basic services like roads, drainage or street lights available.

Chairman Dr Anil Gupta said:

“This charge is one-sided and unfair. No service, no communication, and now charges — this is injustice to the industries. We are already bearing the cost of multiple taxes, license fees, CETP charges and local management.”

General secretary Vineet Jain said:

“All industrial areas have been facing the MCD’s negligence for a long time. Now the same industries have to pay such a huge fee without any consultation — this entire process is far from transparent.”

Service status: real figures

• 70% of industrial areas have their waste removed privately, not by MCD

• 60% street lights are out of order or damaged, impacting safety at night

• Waterlogging up to 3 feet in many areas during rains — drainage system fails

• CETP needs to be upgraded as soon as possible

• Roads are broken, without regular maintenance, heavy vehicles ply all day

Support from key East Delhi organisations

The Friends Colony Industrialists Association has the full support of several industrial organisations in East Delhi on this issue, including:

• East Delhi Manufacturers Association

• Jhilmil Friends Colony CETP Society

• Jhilmil Industries Association

• Patparganj Industrial Area Association

All of them have demanded that the MCD first improve the quality of services and then fix any charges. Though this charge has been imposed on residential areas as well, its impact on industries is far greater This is acute, as they are already bearing many expenses like electricity, water, pollution control and local management.

The association has five main demands:

1. User charges should be suspended with immediate effect.

2. A transparent policy should be formulated in consultation with industry associations.

3. Public audit and accountability should be fixed on services.

4. Industrial area associations and CETP societies should be involved in policy making.

5. MCD should release monthly reports of its service performance and accountability should be fixed.

Dr Anil Gupta and Vineet Jain concluded:

“If we do not speak up today, more charges will be imposed tomorrow. Policy change is possible only when all industries come together.”

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