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The Punjab government is accelerating urban infrastructure development through policy changes, improved services, and large-scale investments. The One Time Settlement (OTS) scheme for Improvement Trusts has been reintroduced until April 30, 2026, offering around 50 per cent rebate on non-construction fees. House tax collection has increased to INR 600 crore, reflecting better compliance. Key projects include construction of over 2,100 km of roads, expansion of sewerage and water infrastructure, and modernisation of fire services. Measures such as a simplified building approval process and a single-window system aim to improve ease of doing business across urban areas.
The Punjab government is pushing ahead with urban infrastructure development through a mix of reforms, improved service delivery, and ongoing large-scale projects, as outlined by state Cabinet Minister Sanjeev Arora. Advertisement
The minister stated that the One Time Settlement (OTS) scheme for Improvement Trusts has been reintroduced and will remain open until April 30, 2026. The scheme offers around a 50 per cent rebate on non-construction fees, aimed at providing financial relief to property owners and resolving long-pending dues. Similar schemes introduced in the past had helped clear outstanding payments and improve liquidity for urban local bodies.
Urban local bodies have also reported better financial performance, with house tax collection for 2025-26 reaching INR 600 crore, compared to INR 500 crore in the previous year. This increase indicates improved efficiency in collection systems and higher compliance among taxpayers.
Infrastructure development remains a key focus area. Work is underway to construct around 2,120 km of roads across municipal bodies at a cost of INR 1,300 crore. The government has set a target to complete these projects by the end of May, with a parallel focus on ensuring pothole-free roads ahead of the monsoon season to avoid recurring damage and disruption.
To improve ease of doing business, the building plan approval process has been simplified. Applicants are now required to submit files only once, reducing delays and repeated documentation. In addition, approvals for Sewage Treatment Plants (STPs) will now be required only for plots measuring half an acre and above, easing compliance for smaller developments.
A single-window clearance system has been introduced at both district and headquarters levels to speed up approvals and reduce processing time. This step is expected to benefit developers and investors by making procedures more predictable and efficient.
The government is also investing in emergency and civic services. Around INR 131 crore is being spent to modernise fire services, including procurement of new fire tenders and the development of 13 fire stations to strengthen response capacity.
Sewerage and water management projects are being taken up on priority. Sewer cleaning operations are being carried out using specialised machinery ahead of the monsoon. Sewerage projects worth INR 450 crore have already been allotted, while additional works worth INR 700 crore are planned. On the water supply front, projects worth INR 700 crore have been allocated, and 30 water treatment plants worth INR 800 crore are expected to be taken up.
The minister highlighted that Punjab is entering a new phase of urban transformation, focused on improving service delivery and enhancing the overall quality of life for residents.
Source PTI
5th Jun, 2025
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