Delhi government may seal buildings over non-payment of infra charges

3 min readNew DelhiJul 16, 2026 12:50 AM IST

Water Minister Parvesh Sahib Singh.

Cracking the whip on buildings in the national capital that have allegedly failed to pay mandatory Infrastructure Charges (IFC) to the Delhi Jal Board (DJB), the government has launched a verification exercise, said Water Minister Parvesh Sahib Singh. Owners of such properties must either pay the pending charges or face action, including sealing.

Referring to an internal inquiry which found that nearly 70% of properties in the category of 3,000 sq metres and above have not paid the IFC, the government said that the revenue loss is suspected to be around Rs 2,000 crore.

Water Minister Parvesh Sahib Singh said the government has sought details of all such buildings from the Municipal Corporation of Delhi (MCD) that allegedly received building and layout plan approvals from the corporation by producing just a clearance letter from engineers instead of a No Objection Certificate (NOC) from the DJB.

“For constructing an individual house or a residential complex, one has to pay IFC charges and obtain an NOC from the DJB. This certificate is submitted to the MCD, following which it approves the building plans. But we have found major loopholes and irregularities, which amount to a loss of around Rs 2,000 crore to the government exchequer. Details have been sought of all such properties constructed in the last five years, along with IFC paid by them,” said the Minister.

He also said that the MCD has so far identified about 300 such properties and that there are more. “These properties are being categorised as commercial and residential. Any property found to have violated the rules and norms will have to pay the pending IFC, failing which the government will initiate action, including sealing and seizure,” Singh said.

An official said that for instance, a builder who is constructing a housing complex has to pay an IFC of Rs 20 crore. “Once this is paid, the clearance has to be submitted to the MCD, which clears the building plan. However, it has been observed in many cases that applicants, instead of taking clearance by paying the full amount, settled the matter through engineers and retired officials … and the MCD subsequently also cleared the layout plans…an inquiry has been launched,” said officials.

Officials said that it seems that there is some collusion between the builders and the DJB officials.

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“Wherever we find a discrepancy, a penalty will be levied along with the principal amount. Once the report (of the inquiry) is out, the government will decide whether to levy a penalty on the basis of the previous IFC or the current one,” Singh said.

In May this year, the government had reduced and simplified the IFC structure for property owners, with a 50 per cent rebate for properties in E- and F- category colonies and a 70 per cent rebate for properties in G- and H-category colonies.

IFC is paid by homebuyers or those constructing a new house for facilities such as water connections, pipelines, sewer lines, roads and other facilities. The charges are levied on new constructions and additions on plots measuring more than 200 sq metres, and the plot size is determined on the basis of property documents such as Conveyance Deed, Sale Deed, Registered GPA and Agreement to Sell. The charges have to be paid before the construction starts.