Excise dept to collect sanitation fee from urban areas of Punjab

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LAHORE: The Excise, Taxation and Narcotics Control Department is all set to start collection of cleanliness/sanitation fee from the people in all urban areas of the province as it has signed an agreement with the Suthra Punjab Authority on Sept 21.

The decision has been taken following the government’s approval regarding implementation of a uniform sanitation fee collection model for urban areas of Punjab. In its 36th meeting on Aug 6, the provincial cabinet approved the decision. The per month fee approved by the cabinet included Rs300 and Rs500 for the property up to five marla (urban domestic) and small business (urban commercial), Rs500 and Rs1,000 for the property (five to 10 marla/domestic) and medium business. Rs3,000 would be charged from large business owners and Rs1,000, Rs2,000 and Rs4,000 would be charged from the properties—10 to 20 marla, 20 to 40 marla and above 40 marla, respectively.

The excise department shall undertake collection of sanitation fee from the FY 2026-27 onwards while the previous bills will be recovered by the Suthra Punjab Authority. One per cent of the total bills would be paid to the excise department in advance by the authority through the finance department.

According to the agreement, the excise department may generate a combined annual bill for property tax (which it has been doing already since long) and sanitation fee from 2026-27 onwards. The department will be liable to have survey, database development, billing, printing, distribution, collection, reconciliation and allied services relating to sanitation fee.

Suthra Punjab Authority signs accord with dept after cabinet’s nod; dept to receive 1pc of bills in advance; Cantt, DHAs, private schemes not included in the plan

The department will be liable to perform such services in accordance with the agreement, applicable laws and government notifications. However, the agreement is not applicable for the urban areas falling within jurisdiction of Cantt, DHAs and private housing schemes since such areas already have their own cleanliness, solid waste management and sanitation fee/billing systems.

According to officials, the objective of the agreement is to establish an efficient, transparent, technology-driven and accountable mechanism for the billing, collection and reconciliation of sanitation fee in urban areas and under its scope, the excise and taxation department shall establish and maintain comprehensive consumer database by assigning a unique consumer identification number, conducting surveys, identifying liable consumers, eliminating duplicate records, updating consumer information and registering new consumers etc.

The complaints relating to scope of service shall be dealt with by the department. A suitable referral and tracking mechanism shall be maintained.

The Suthra Punjab Authority may, in association with the finance department and accountant general audit authorities, carry out audits of the excise and taxation department relating to billing, collection, deposits, expenditures etc.

“The meetings between the officers of both organisations are underway these days in a bid to start executing this agreement in true letter and spirit,” said an officer of the authority while talking to Dawn on Thursday.

Published in Dawn, September 25th, 2026

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