NDMC backs down on land-use charges

In an attempt to consolidate its financial position, cash-starved North Delhi Municipal Corporation has decided to charge various telecom and other services providers, using the civic body’s land and property, to grant them so-called “way leave facility.”

The NDMC, however, brought down the charges after intervention by the Prime Minister’s Office. In the earlier proposal, the NDMC proposed to charge Rs 75,162 per metre of one metre width per annum, but after the PMO intervention on Wednesday, the NDMC standing committee approved “way leave” usage charge of Rs 684 per metre of one metre width. The “way leave” charges will be applicable to service providers using land property of the NDMC — whether underground, on the ground or overhead.

Explaining the reason behind the negligible charges in comparison of the proposed rates earlier, NDMC commissioner P.K. Gupta said previous proposal to charge Rs 75,162 for granting “way leave” usage was planned in rem-unerative projects cell wi-thout considering reality.

“After the plan came to public notice, representatives of BSNL, MTNL, GAIL and other service providers approached us explaining that charges are unrealistic and not feasible. Several calls from the PMO were also received on the issue, suggesting rates should be made realistic. The message from the PMO was that reasonable amount should be charged.”

Additional commissioner Sanjay Goel said several service providers had complained the rates were very high and not economically feasible for them and the ultimate burden of the charges would have to be borne by the consumers.