Delhi: Delhi Chief Minister Rekha Gupta announced a complete waiver of late payment surcharges on water bills totaling over ₹11,000 crore for domestic consumers until January 31, 2026, providing major relief to Delhi residents struggling with accumulated penalties.
Waiver Details by Delhi CM Rekha Gupta
Addressing a press conference Tuesday, the Chief Minister outlined the phased relief: “The government is waiving off Rs 11,000 surcharge on water bills. The LPSC waiver will be 100 per cent till January 31, 2026. After that, we will not extend this benefit. From February 1 till March 31 next year, the LPSC waiver will be 70 per cent.”
Domestic consumers will receive complete late payment surcharge (LPSC) exemption through January 31, followed by a 70 percent waiver from February 1 through March 31, 2026.
Connection Regularization
The government has also reduced fees for converting illegal water connections to legal status. In the domestic category, charges have decreased from ₹25,000 to ₹1,000, while non-domestic category fees dropped from ₹61,000 to ₹5,000.
Gupta revealed Delhi has 29 lakh unauthorized water connections requiring regularization.
Outstanding Dues Context
According to officials, Delhi Jal Board’s total outstanding receivables across all categories—domestic, government, and commercial—stand at ₹87,589 crore. The principal amount comprises ₹7,125 crore, while LPSC charges account for ₹80,463 crore, representing 91 percent of total bills.
Financial Impact
The waiver addresses accumulated surcharges that have ballooned far beyond original principal amounts, creating financial barriers for consumers attempting to clear dues. The disproportionate surcharge burden—exceeding principal amounts by more than tenfold—has made bill settlement practically impossible for many households.
The complete waiver through January 31 provides a four-month window for consumers to settle principal amounts without surcharge penalties. The subsequent 70 percent waiver extends partial relief through March 31, encouraging continued payment compliance.
Policy Objectives
The initiative aims to improve Delhi Jal Board’s revenue collection while providing affordable pathways for consumers to regularize their accounts. Reducing regularization fees for illegal connections addresses widespread unauthorized usage while bringing consumers into the legal framework.
The announcement comes as the Delhi government seeks to resolve longstanding water bill disputes while expanding the formal consumer base through affordable legalization options.
