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Bengaluru Landowners: Exciting New Parking Initiative Grants Full Tax Exemption!

In response to the significant parking issues in Bengaluru, the Karnataka government has introduced a proposal aimed at encouraging landowners to utilize their vacant properties for vehicle parking. This initiative includes a complete exemption from property tax and service charges for the establishment of multi-level car parking (MLCP) or mechanized parking facilities.

The government is currently seeking input from the public regarding the draft parking regulations, with feedback accepted until September 10.

A recent announcement from the Greater Bengaluru Authority (GBA) revealed that Bengaluru has over 12.8 million registered vehicles, in addition to 1.5 to 2 million vehicles registered outside the city but commonly used there. This brings the total vehicle count to nearly 15 million.

The GBA highlighted that vehicles are parked approximately 95% of the time, leading to unregulated parking that contributes significantly to traffic congestion, utilizing nearly half of the available road space and hindering pedestrian movement.

The proposed draft stipulates that landowners who transform their unused land into parking areas will qualify for tax benefits: a full exemption from property tax and service charges for MLCP or mechanized parking setups, while those offering standard surface parking will receive a 50% exemption.

Parking fees will be determined by various factors, including road classification and location, with the aim of making public transportation more affordable than private vehicle use. Monthly passes will also be available for frequent users of off-street public parking facilities.

The regulations suggest prohibiting on-street parking on busy arterial roads, implementing peak-hour parking restrictions on significant thoroughfares, and disallowing parking near designated multi-level car parks to encourage their utilization. Additionally, higher charges will be imposed on vehicles that occupy road space for extended periods.

Authorities from the police and municipal corporation within the GBA jurisdiction will have the authority to enforce these regulations, including taking action against property owners who do not comply with legal parking requirements or misuse designated parking areas.

The government also plans to enhance transparency by releasing periodic revenue reports, with the funds generated being allocated for traffic management, junction improvements, and repairs of roads and footpaths, as outlined in the draft.

The GBA noted that the average speed for vehicles on Bengaluru’s main roads during peak hours is around 15 km/h, while public buses travel at approximately 10 km/h. This matter was discussed in a meeting held on March 19, led by the then-deputy chief minister and current Chief Minister D K Shivakumar, where it was unanimously agreed that formal regulation of parking is necessary.

This proposed framework builds upon the Bengaluru Parking Policy that was sanctioned by the state government on February 2, 2021. Officials stated that previous attempts to implement a Smart Parking Management System, initiated through tenders by the former Bruhat Bengaluru Mahanagara Palike in September and December 2022, encountered a lack of response, partly due to the absence of specific parking management regulations to facilitate execution.

The government invites the public and stakeholders to submit their comments and objections until September 10 via email at acsuddoffice@gmail.com or in writing to the additional chief secretary of the urban development department at Vikasa Soudha.

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