Chennai Housing Board Fined for Excess Water Charges and Hidden Fees, ET RealEstate

November 2, 2024
1 min read
Chennai Housing Board Fined for Excess Water Charges and Hidden Fees, ET RealEstate


<p>Representative image </p>
Representative image

CHENNAI: The Tamil Nadu Housing Board (TNHB) has been penalised for imposing 30 excess water fee each month and demanding “mobile water charges,” which were not specified in its rental terms.

K Iyappan, a state secretariat employee, had rented a TNHB property in Chennai between Nov 2020 and Oct 2021. During his 13-month stay, he was charged 80 per month for water, despite an agreed rate of 50, and was additionally billed 5,300 in mobile water charges not listed in the original rental terms.

Iyappan filed a complaint with the district consumer disputes redressal commission, Chennai (North), seeking a refund of these charges along with a penalty. Iyappan also said the TNHB demanded that he start paying rent from Oct 28, 2020 — the date of the allotment order — even though he only took possession on Nov 3.

TNHB defended its actions, explaining that the water fee was set according to departmental norms and disclosed at the time of allotment, and Iyappan accepted the charges by signing an agreement. TNHB claimed the mobile water charges, while not itemised in the rental terms, were necessary to maintain an uninterrupted water supply, especially in high-demand areas.

For the extra rent, TNHB clarified that charges were calculated on a “notional basis”, starting from the allotment date of Oct 28, 2020, as per policy. The commission accepted this explanation.

However, the commission found TNHB’s water charges, including mobile water fees, unjust, and ruled that they exceeded the agreed rate. It ordered TNHB to refund the 5,300 in mobile water fee and to pay an additional 12,000 as compensation for causing mental distress.

  • Published On Nov 2, 2024 at 11:00 AM IST

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