MCD to raise registration charges for cars

Wednesday, December 17, 2008
source:http://timesofindia.indiatimes.com


The Municipal Corporation of Delhi (MCD) is planning to increase the one-time registration charges it takes on purchase of new cars. A
proposal in this regard has been made by commissioner K S Mehra and is awaiting approval from the standing committee, which is likely to take up the matter only after the code of conduct in place at present is removed. This proposal has been made to generate more revenue to increase parking facilities in the city.

The one-time registration charges levied on commercial vehicles is not likely to increase as yet. However, the one-time registration fees taken by the civic agency for cars or four-wheelers costing up to Rs 4 lakh, which is Rs 2,000, is likely to go up to Rs 6,000. For cars costing more than Rs 4 lakh, it may be increased to Rs 12,000 from the Rs 4,000 charged earlier.

The annual fees collected from commercial vehicles varies from Rs 2,500 to Rs 4,000 MCD collects Rs 2,500 from RTVs, tempos etc and Rs 4,000 from buses and trucks.

Said Mehra: "We want to make a special fund for meeting expenditure on the construction of modern parking systems in market places, city centres, office complexes etc. We need to, therefore, increase charges as the projects have to be economically viable. With more cars on the roads and parking facilities required along the 2,183 commercial stretches notified under the Master Plan 2021 , multi-level parking systems are required which is an expensive option.''

Moreover, the civic agency claims there has been a steep rise in the cost of building material also. Mehra added: "We will look into increasing the one-time registration charges of commercial vehicles in the future.''

Said standing committee chairman: "The committee will look into the matter after the removal of code of conduct.'' The matter will then have to be forwarded to Urban Development Department.

However, the fact remains that while the MCD has managed collecting Rs 250 crore as conversion charges from 2007 to 2008, it has been unable to augment the required parking space in the city. They are likely to collect an additional Rs 90 crore as one-time registration charges from this financial year as given in their budget estimates.

The project of creating 16 multi-level parking sites which was proposed in 2003 is yet to take-off. Work has only been awarded for the parking site at Kamla Nagar, which is still awaiting environmental clearance after a year of the work being awarded. Moreover, tenders are yet to be floated for the 24 parking sites to be created under parks. As per MCD's estimates, the cost of making a ramp-level, multi-level parking for one equivalent parking space is Rs 4 lakh and for automated parking, it is Rs 9 lakh.

Said an official: "There are 53 lakh vehicles registered in the city. As a result of insufficient parking space, people park their cars on the roads. Therefore, we need to create more parking. As per the parking policy filed by MCD before the Supreme Court, we also need to create parking along the 2,183 roads notified as commercial and mixed land use stretches. And, more such areas are likely to be declared in the future.''