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Delhi Parking Chaos: Operators Owe MCD ₹80 Crore in Unpaid Dues Over Three Years

· · 2 min read

The Municipal Corporation of Delhi (MCD) is owed over ₹80 crore in unpaid licence fees from parking operators across the city. This significant sum has accumulated over the past three years, exacerbating Delhi's existing parking challenges.

The Municipal Corporation of Delhi (MCD) is facing a substantial financial shortfall, with parking operators owing the civic body more than ₹80 crore in unpaid licence fees and contract dues. This staggering amount has accumulated over the last three years, according to official documents presented before its Standing Committee.

The figures were revealed on September 24 in response to a short-notice question by BJP councillor and Standing Committee member Hem Chand Goel. The reply, approved by the competent authority, detailed the extent of unpaid dues, ongoing contract issues, and the MCD's strategic plans for its extensive parking network.

Persistent Defaults Plague MCD Revenue

Despite holding earnest money deposits and advance security amounts totaling nearly ₹109 crore, the MCD continues to grapple with persistent non-payment from contractors. This has led to numerous default notices, forfeiture of security deposits, and the cancellation of contracts. The civic body manages a vast network of 463 parking facilities throughout Delhi, comprising 433 surface lots and 30 multilevel or mechanical parking structures, with 374 sites currently operational.

The revenue breakdown for parking assets over the past three years highlights the scale of the issue:

  • 2023-24: ₹179.45 crore
  • 2024-25: ₹186.05 crore
  • 2025-26: ₹137.17 crore

These figures are part of the total revenue collected from all sources, which stood at ₹253.93 crore, ₹275.74 crore, and ₹265.58 crore for the respective years.

MCD Plans Digital Mapping and Expansion

In an effort to curb unauthorised operations and enhance oversight, the MCD announced plans to conduct physical verification and establish a GIS-based digital database for all existing and newly tendered parking locations. This initiative aims to plug revenue leakages, improve contractor performance monitoring, and ensure that only authorised entities collect parking fees from commuters.

Despite the current challenges, the corporation intends to expand its parking network, with officials indicating plans to develop approximately 83 new parking sites across the city. This expansion is designed to alleviate congestion and boost non-tax revenue. However, repeated defaults by operators have complicated contract renewals and stalled some site handovers, forcing the MCD to frequently invoke bank guarantees and initiate fresh tendering processes.

Calls for Stricter Oversight

The disclosure has intensified demands for more rigorous oversight of parking contracts and stricter enforcement against defaulting operators. Councillors have advocated for tougher pre-qualification norms, real-time revenue monitoring systems, and faster dispute resolution mechanisms to prevent future accumulation of such significant dues.

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