Delhi's circle rate revision plan revisited due to concerns

28 Aug 2023 CW Team

The Delhi government's initiative to revise circle rates for residential and commercial zones is undergoing reevaluation. A previous proposal, aiming to introduce sub-categories with multiple circle rate slabs, was returned by the finance department with suggestions and objections.

To address the gap between current circle rates and market property values, a potential increase of up to 35% is being considered. Moreover, the government is open to adjusting certain colonies' categories based on location, facilities, and market rate feedback.

Circle rates, which establish the minimum property valuation rates, were last raised for residential areas across categories in 2014. While rates for agricultural land were increased this month, going from Rs 5.3 million per acre in 2008 to Rs 20 million to Rs 50 milliondepending on location.

Despite forming committees and working groups since 2016 to propose rate revisions, no definitive decision was reached. The importance of updating circle rates to match market rates was highlighted by former Deputy CM Manish Sisodia in 2022, aiming to boost government revenue. However, a polished final proposal remains pending.

Infrastructure Urban

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