MIDC Hikes Service Charges in Hinjewadi After 17 Years, Here’s What Changes

MIDC Service Charge Hike Brings Major Changes to Hinjewadi and Other Industrial Areas

Hinjewadi has grown fast over the last two decades. What was once a quiet stretch on the edge of Pune is now one of India’s busiest IT and industrial zones. With thousands of offices, factories, and workers using the same roads and services every day, pressure on local infrastructure has increased a lot. After years of delay, the Maharashtra Industrial Development Corporation, known as MIDC, has finally taken a major step.

For the first time in 17 years, MIDC has increased service charges in Hinjewadi, along with Chakan and Talegaon. The decision affects industrial units of all sizes and is aimed at fixing long-standing problems related to roads, traffic, drainage, and basic services.

This change has sparked discussion among companies and workers, especially in Hinjewadi, where daily traffic and road conditions have been a constant issue.

Why MIDC Increased Service Charges After 17 Years

MIDC officials have said clearly that the hike was overdue. For nearly two decades, service charges remained almost the same, even though the cost of maintenance and development kept rising. During this time, areas like Hinjewadi expanded rapidly, with more IT parks, factories, and commercial buildings coming up every year.

As industrial activity grew, MIDC’s spending on road repairs, water supply, drainage cleaning, and general upkeep crossed its income. This made it hard to take up new projects or even maintain existing infrastructure properly.

According to officials, the new rates are meant to balance this gap. The extra money collected will be used only for infrastructure work in Hinjewadi, Chakan, and Talegaon.

Hinjewadi’s Role in Pune’s Industrial Growth

Hinjewadi is not just another industrial area. It is Pune’s biggest IT hub and a major job provider. Companies from India and abroad operate here, and lakhs of people travel in and out of Hinjewadi every day for work.

But with growth came problems. Roads became crowded, potholes became common, and drainage systems struggled during heavy rains. Many companies raised concerns about traffic delays and poor road conditions affecting daily operations.

MIDC has acknowledged these issues and stated that without revising service charges, it would not be possible to improve conditions in Hinjewadi in a planned way.

Revised MIDC Service Charges Explained Simply

The new service charges are based on the size of the land allotted to industrial units. Instead of a flat rate, MIDC has introduced a slab system. This means larger plots will pay slightly more per square metre.

Here is a simple table showing the revised rates that now apply to Hinjewadi, Chakan, and Talegaon.

MIDC Revised Service Charges Table

Plot Size	New Service Charge (per sq metre)
Up to 500 sq metres	₹12
500 to 2,000 sq metres	₹13
Above 2,000 sq metres	₹15

Earlier, service charges were around ₹4.50 to ₹4.75 per square metre, depending on the area. The jump may look big, but MIDC says it reflects current needs and rising costs.

Why the Proposal Was Delayed for So Long

The idea of increasing service charges is not new. MIDC first proposed a hike in 2019. However, industry associations strongly opposed it at that time. Many companies argued that costs were already high and that infrastructure improvements were not visible on the ground.

Soon after, the pandemic hit. Lockdowns, business losses, and uncertainty forced MIDC to put the proposal on hold. For the next few years, the focus shifted to recovery rather than new charges.

Only after economic conditions improved did MIDC restart talks with industry bodies. This time, discussions were held with associations from Hinjewadi, Chakan, and Talegaon before taking a final decision.

What MIDC Plans to Do in Hinjewadi With the Extra Funds

MIDC has shared a list of projects planned for Hinjewadi IT Park. These works aim to reduce traffic trouble and improve road quality in key areas.

One major plan is to build proper roads below the upcoming Metro line in Hinjewadi. This is expected to help traffic move smoothly even during Metro construction and after it becomes operational.

MIDC also plans to make peripheral roads concrete so they last longer and need fewer repairs. A flyover at Lakshmi Chowk is another important project, as this junction often faces long traffic jams during peak hours.

In addition, approach roads will be widened, and drainage systems will be improved to prevent waterlogging during the monsoon. These changes are expected to make daily travel in Hinjewadi easier for employees and transport vehicles.

Infrastructure Plans in Chakan and Talegaon

While Hinjewadi gets attention due to its IT presence, Chakan and Talegaon are equally important industrial zones. Both areas house major manufacturing companies and see heavy movement of trucks and goods vehicles.

In Chakan, MIDC has set aside around ₹167 crore for a dedicated concrete road meant only for heavy vehicles on the Chakan–Talegaon Road. This is expected to reduce wear and tear on regular roads and improve safety.

Overall infrastructure work planned for Chakan, which covers about 3,300 hectares, is estimated at ₹323 crore. This includes road upgrades, drainage improvements, and general maintenance.

In Talegaon MIDC, funds will be used to support large units like Hyundai Motors. Four-lane approach roads and stormwater drainage systems are part of the plan. MIDC will also focus on maintaining the 1,500-hectare industrial area that includes engineering units and floriculture hubs.

Industry Consultations Before Final Decision

MIDC officials have stressed that the hike was not imposed suddenly. Multiple meetings were held with industry associations, including groups representing Hinjewadi companies. During these discussions, MIDC explained its financial situation and shared details of proposed infrastructure projects.

Industry bodies were told clearly that the additional money collected would not be diverted elsewhere. It would be used only for development and maintenance within the same industrial areas.

After these talks, MIDC moved ahead with the revised charges in phases. Service charges were first updated in Talegaon and Chakan in July, followed by Hinjewadi in October.

What MIDC Officials Are Saying

Kalidas Bhandekar, Chief Engineer of MIDC Pune, stated that the revision was necessary and long pending. He pointed out that industrial areas have expanded a lot in the last 17 years, but service charges did not change during that time.

According to him, the new rates are moderate and essential to ensure that MIDC can maintain and expand infrastructure in Hinjewadi and other zones without delays.

How This Affects Companies and Workers in Hinjewadi

For companies, the increased service charge means higher annual costs. However, many believe that better roads and smoother traffic can save time and money in the long run.

For workers in Hinjewadi, improved infrastructure can mean shorter travel times, safer roads, and fewer breakdowns during the monsoon. If planned projects are completed on time, daily life in Hinjewadi could become less stressful.

FAQs About MIDC Service Charge Hike in Hinjewadi

Why did MIDC increase service charges in Hinjewadi?

MIDC increased charges to fund infrastructure upgrades and cover rising maintenance costs after 17 years without revision.

When were the new charges applied in Hinjewadi?

The revised service charges were implemented in Hinjewadi in October, after earlier implementation in Chakan and Talegaon.

Will the extra money be used outside Hinjewadi?

No. MIDC has said the additional revenue will be used only for infrastructure work within the same industrial areas.

What projects are planned in Hinjewadi?

Planned works include roads under the Metro line, a flyover at Lakshmi Chowk, concrete peripheral roads, wider approach roads, and better drainage.

Does this affect small industrial units?

Yes, but smaller plots fall under the lowest slab, which is ₹12 per square metre.

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