Health licence fees for many businesses up in NDMC areas

NEW DELHI: New Delhi Municipal Council (NDMC) on Tuesday hiked the rates for obtaining health licences, including renewals, to carry out business activities like hotels, restaurants, coffee shops, lodging houses, gyms, etc.
The one-time processing fee, which is levied at the time of issuing a new licence, has also been increased in all categories. The changes have been implemented with effect from April 1.
"As per the council's decision in August 2018, NDMC can increase the licensing as well as processing fees every year based on the wholesale price index released by the ministry of labour, Government of India.This year, we have decided to increase the fees by 7%," said an NDMC official.
MCD usually increases the fees by about 15% after three years, said the official.
The council is presently granting new licences and renewing old licences for a period of three years.
"The decision has been taken after a new portal was launched on the LG's direction sometime back and applies uniformly to all agencies. Earlier, we were granting new licences for a period of one year and renewing licences for a period of five years," said the official further.
The validity of the licences will continue till March 31 irrespective of dates on which these are issued and after that, these are required to be renewed.
"In majority of the categories, the increase is between Rs 100 and Rs 2,000 annually except in the case of lodging houses and five-star hotels. However, there will not be any increase for laundry, boiler, hawking, dry cleaning, dairy booths, etc. NDMC will process around 200-300 cases for health licences this year," said the official.
For a five-star hotel and a smaller lodging house, the licensing fee has been increased from Rs 75,300 to Rs 80,600. For a lodging house with above 100 beds, the amount has been increased from Rs 30,100 to Rs 32,300; for cinema hall, dancing hall, club and spa, the amount has been increased from Rs 7,500 to Rs 8,000; and for restaurants with sitting capacity above 50, the amount has been increased from Rs 15,000 to Rs 16,100. For smaller restaurants, the fee has been increased from Rs 7,500 to Rs 8,000.
"In addition to these, late fees are also (to) be charged in the cases where application is received after April 30 and within one year from the date of expiry of health licence, late fee charges @ 5% of licence fee per month will be charged. For the application for renewal of health licence, received after one year from date of expiry of licence, late fee charges will be double the annual licence fee for every expired year plus 5% licence fee per month for part months," NDMC stated in an order dated May 6.