Maharashtra Government Rejects Pune's Hoarding Fee Hike; PMC Ordered to Respond
The Maharashtra state government has overturned the Pune Municipal Corporation’s (PMC) decision to increase advertisement hoarding fees, citing non-compliance with the state’s Advertising Policy 2022. The PMC has 30 days to provide a detailed explanation.
PuneHoarding FeesMaharashtra GovernmentAdvertising PolicyPmcReal Estate PuneJul 24, 2025
The PMC had approved the increased hoarding charges on December 28, 2022, following a resolution passed by its general body. As per this decision, hoarding holders were being charged between ₹580 and ₹700 per sq. ft. annually. A provision was also made to raise the rate by 10% annually for the next three years and apply a 50% higher rate in newly merged Gram Panchayat areas.
However, the Pune Outdoor Advertising Association opposed the fee hike, lodging a formal complaint with the state government and filing a writ petition in the Bombay High Court. In response, the state government reviewed the proposal and ruled it inconsistent with the Advertisement Policy 2022.
According to state officials, the PMC had earlier resolved under General Body Resolution No. 667, dated September 28, 2018, to charge ₹222 per sq. ft. per year. The recent hike, introduced in 2022, was based on the assumption of a consistent annual increase since 2013, but the government noted that the escalation did not align with the policy guidelines or due legal process.
“The state government has quashed the municipal corporation’s resolution. The municipal corporation has been given 30 days to submit its views. Accordingly, we will submit our views to the state government after taking the opinion of the legal department, and we will not take any action regarding the collection of fees until the opinion of the legal department is received,” said Santosh Warule, Deputy Commissioner of PMC.
This decision by the state government highlights the importance of adhering to established policies and legal procedures in municipal governance. The PMC will need to carefully review its processes and provide a comprehensive response to the state government within the given timeframe. The outcome of this case could set a precedent for similar issues in other municipalities across the state.
Frequently Asked Questions
What was the PMC's decision regarding hoarding fees?
The PMC had approved increased hoarding charges on December 28, 2022, ranging from ₹580 to ₹700 per sq. ft. annually, with a 10% annual increase for the next three years and a 50% higher rate in newly merged Gram Panchayat areas.
Why did the state government reject the PMC's decision?
The state government rejected the PMC's decision because it was found to be non-compliant with the state’s Advertising Policy 2022 and did not follow the due legal process.
What is the Pune Outdoor Advertising Association's stance on the fee hike?
The Pune Outdoor Advertising Association opposed the fee hike, lodging a formal complaint with the state government and filing a writ petition in the Bombay High Court.
What action has the PMC been ordered to take?
The PMC has been ordered to submit its views to the state government within 30 days, pending legal opinion, and not to take any action regarding the collection of fees until the legal department’s opinion is received.
What was the previous rate of hoarding fees according to the PMC's General Body Resolution No. 667?
According to the PMC's General Body Resolution No. 667, dated September 28, 2018, the previous rate of hoarding fees was ₹222 per sq. ft. per year.
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