Pune: MIDC Revises Service Charges After 17 Years to Fund Infrastructure Upgrades in Pune’s Industrial Hubs

Hinjawadi IT Park
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Pune, 20th December 2025: For the first time in nearly two decades, industries operating in Pune’s major industrial belts will pay higher service charges, as the Maharashtra Industrial Development Corporation (MIDC) moves to strengthen its finances and accelerate long-delayed infrastructure projects. The revised fee structure is designed to address the mounting pressure on roads, utilities, and civic amenities caused by rapid industrial growth.

Industrial clusters, such as Hinjewadi IT Park, Chakan, and Talegaon, have expanded sharply over the past decade, emerging as key employment and manufacturing centers. However, infrastructure development in these areas has struggled to keep pace, leading to persistent traffic congestion and overburdened public facilities. MIDC officials said several improvement projects were planned but could not be executed due to funding constraints.

According to sources within the corporation, MIDC’s operational costs have been outstripping its revenue for years, limiting its ability to invest in large-scale upgrades. To correct this imbalance, the agency decided to revise the annual service charges levied on industrial units—unchanged for the last 17 years.

The revised charges were first implemented in July 2025 in the Talegaon and Chakan industrial areas and were subsequently extended to the Rajiv Gandhi IT Park in Hinjewadi in October. Under the new structure, service charges have increased from ₹4.50 per square metre to a maximum of ₹15 per square metre, depending on plot size.

As per the slab-wise rates, industries occupying up to 500 square metres will pay ₹12 per square metre annually. Units with plot sizes between 500 and 2,000 square metres will be charged ₹13 per square metre, while those exceeding 2,000 square metres will pay ₹15 per square metre.

MIDC officials said the decision followed consultations with key industry associations, including the Hinjewadi Industries Association, Federation of Chakan Industries and Talegaon Industries Association. During these discussions, MIDC outlined proposed infrastructure projects and explained the financial requirements behind the revision.

“MIDC had not revised service charges for 17 years. Several infrastructure development works are now being undertaken in industrial areas. To generate the necessary funds, we implemented a reasonable increase after consulting industry bodies,” said Kalidas Bhandekar, Chief Engineer, MIDC.

Industry representatives acknowledged that while the hike would increase costs, it was necessary for long-term benefits. Colonel (Retd.) Shankar Salalkar, Chief Executive Officer of the Hinjewadi Industries Association, said the proposal had been under discussion for some time. “The increase has been accepted as it is meant for infrastructure improvement. The additional funds are expected to be used to upgrade facilities within the IT park,” he said.

MIDC officials emphasised that the additional revenue generated through the revised service charges will be ring-fenced for infrastructure enhancement, including road widening, traffic management measures and essential civic upgrades across Pune’s industrial corridors.