Shimla, May 11 (UNI) In a move aimed at easing the financial burden of residents in newly constituted urban areas, the Himachal Pradesh government has announced a three-year relief in water supply tariffs and exemption from property tax.
The decision will benefit 47,820 consumers across the state, a government spokesperson confirmed on Saturday.
Residents of 14 newly created Nagar Panchayats — including Sandhole, Dharampur, Baldwara, Banikhet, Khundian, and others — as well as upgraded urban areas such as Hamirpur, Una, and Baddi (now Municipal Corporations), will continue to be billed for water at rural rates.
Similarly, property tax has been waived for households in these areas during the transition.
The decision comes at a time when citizens across the state are reeling under rising costs of basic services. The government recently approved hikes in bus fares, power tariffs, garbage collection charges, and hospital fees — all of which have drawn public criticism.
In contrast, the relief in newly urbanised areas is seen as a balancing measure to protect residents from sudden cost escalations due to administrative restructuring.
“This step ensures that residents are not overburdened immediately after their areas are merged into urban jurisdictions. It’s a major relief measure meant to help them adjust without a sharp rise in living expenses,” the spokesperson added.
Urban governance experts say while this relief offers temporary respite, it will also put pressure on ULBs to maintain services without a matching rise in revenue.
However, the government maintains that it is committed to improving basic infrastructure and services in these regions without shifting the cost burden prematurely onto the residents.
UNI ML ARN