BMC Plans User Fee on Bulk Waste Generators as SWM Revenue Lags

MUMBAI — The Brihanmumbai Municipal Corporation is considering introducing user fees for bulk waste generators across Mumbai after revenue from its Solid Waste Management operations fell significantly short of annual targets.

The civic body's finance department recently directed the Solid Waste Management department to work towards implementing user fees under the Solid Waste Management Rules, 2025, and set a revenue target for the current financial year. The move comes as the civic administration seeks ways to boost earnings from its waste handling services.

While the policy direction has been set, the civic body is yet to finalise the exact mechanism for collecting the proposed fees from bulk waste generators. One option currently under deliberation is charging generators based on the volume of waste processed, potentially on a per-tonne basis under the Extended Producer Responsibility framework referenced in the Solid Waste Management rules.

Another proposal under review is to levy charges on bulk generators that process their waste independently on their own premises. BMC officials stated that discussions are ongoing and the formal formula for calculating and collecting these fees has not yet been determined.

The push for new revenue streams follows a steep shortfall in the department's collections. The Solid Waste Management department was assigned a revenue target of Rs 347.23 crore for 2026-27, but managed to collect only Rs 29.77 crore by July 31, representing barely 9 percent of the annual goal.

The finance department flagged that actual revenue generated by the SWM department has grown at a modest pace in recent years. The department collected Rs 46.77 crore in 2023-24, Rs 46.57 crore in 2024-25, and Rs 55.55 crore in 2025-26. Finance officials noted that targeted measures are necessary to significantly raise civic waste collections.