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Chandigarh slashes sewerage cess from 30% to 25%
For perspective, if a consumer’s monthly water bill is ₹2,500, the sewerage cess charged was ₹750 (30% of the bill), which ultimately took up the bill to ₹3,250. With the latest decision, the consumer will now have to pay only ₹3,125 (addition of ₹625 that is 25% of the bill)
In some respite to Chandigarh residents, the UT administration on Monday slashed the sewerage cess on water from 30% to 25% for the remaining months of the financial year 2023-24, a move which will result in reduced water bills. The sewerage cess will further be slashed to 20% in the next financial year.
The sewerage cess depends on a consumer’s water bill. For perspective, if a consumer’s monthly water bill is ₹2,500, the sewerage cess charged was ₹750 (30% of the bill), which ultimately took up the bill to ₹3,250. With the latest decision, the consumer will now have to pay only ₹3,125 (addition of ₹625 that is 25% of the bill). From next year, the consumers will have to pay only ₹3000 (addition of ₹500 that is 20% of the bill).
The Chandigarh municipal corporation (MC) had in June 2019 decided to impose 30% of the total water consumption charge as sewerage cess on residential buildings, hotels, commercial premises, institutions and other categories, after amending the Chandigarh Water Supply Bye-Laws, 2011.
But after the opposition parties raised the issue of inflated water bills in the city, the General House had in March this year decided to slash the sewerage cess on water from 30% to 10%. A proposal on the slashed rates had been to UT administrator Banwarilal Purohit for final approval. However, the local government department of the UT administration on Monday, said, “Exercising the powers conferred under Punjab municipal corporation act, the UT administrator is pleased to reduce the rate of sewerage cess from existing 30% to 25% for the remaining period of the financial year. The cess will further be reduced to 20% with effect from April 1, 2024.”
MC had hiked water tariff upto 150% in 2022
In March 2022, the Chandigarh administration had hiked the water tariff in Chandigarh upto 150%. For 0-15 kilolitre (kl), the rate was hiked to ₹3 per kl from ₹2 per kl; for 16 to 30 kl, it was hiked to ₹6 per kl from ₹4 per kl; for 31 to 60 kl, it was hiked to ₹10 per kl from ₹6 per kl and for 60 kl and above, it was hiked to ₹20 per kl from ₹8 per kl. The tariff is to see 5% annual increase. Along with this, the MC had also decided to impose 30% sewerage charge on water bill. Until April 2022, consumers were paying the rates decided in 2011.
