The Delhi Jal Board (DJB) has approved an interim policy allowing consumers and developers to obtain a no-objection certificate (NOC) by depositing 25% of the applicable infrastructure charges (IFC), officials said on Friday, a move aimed at easing construction-related bottlenecks.
The decision is expected to benefit property owners and developers whose projects were delayed due to high upfront IFC payments. According to officials, the remaining IFC amount will be adjusted at the time of granting the final water connection, based on prevailing rates. The change comes amid concerns that a revised IFC calculation method – shifting from occupancy-based assessment to floor-area-based charges – had significantly increased costs.
“In many cases, IFC rose 5-10 times, making it difficult for people to proceed with construction or redevelopment,” an official said, adding that several applicants were unable to secure NOCs under the earlier framework.
Delhi water minister Parvesh Verma said the government had received repeated complaints regarding the high charges. “We were receiving repeated complaints that high IFC was stopping people from building their homes. This was neither fair to citizens nor efficient for the system. We decided to fix it with a practical and humane approach,” he said.
He added that the revised system would allow construction activity to begin with reduced upfront financial burden. “With just 25% payment, construction can begin. The remaining amount will be fairly adjusted later,” Verma said.
{{/usCountry}}He added that the revised system would allow construction activity to begin with reduced upfront financial burden. “With just 25% payment, construction can begin. The remaining amount will be fairly adjusted later,” Verma said.
{{/usCountry}}Officials said properties up to 200 square metres will continue to remain exempt from IFC, while larger plots will fall under the revised framework. Estimates suggest that total IFC liability may reduce by 50% to 70% in several cases.
The reform is expected to facilitate faster approvals, unlock stalled projects, and improve compliance. Meanwhile, the department is working on a broader policy to revise IFC and other charges.
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