Andhra Pradesh Government Abolishes Garbage Tax

On November 21, 2024 the Andhra Pradesh Legislative Assembly passed a bill to abolish the garbage tax introduced by the YSRCP government. The decision led by Municipal Administration Minister P. Narayana aims to relieve citizens and investigate the alleged benefits contractors received from the tax.

Piyush Shukla Published On November 25th, 2024

The Andhra Pradesh Legislative Assembly has approved a bill on November 21, 2024, to abolish the garbage tax introduced by the previous YSRCP government. The decision, championed by Municipal Administration Minister P. Narayana, aims to alleviate financial pressure on citizens and investigate alleged contractor benefits linked to the tax. This move reflects a significant policy reversal and highlights concerns over the previous government’s methods of waste management funding.

Background of the Garbage Tax

Implementation by YSRCP: Introduced to fund waste collection in 40 municipalities, the garbage tax charged households between ₹30 and ₹120 and commercial establishments from ₹100 to ₹10,000.

Cost Implications: The government allocated ₹51,641 to ₹62,964 monthly for service providers, leading to a monthly expense of ₹13.9 crore. Between November 2021 and July 2022, only ₹249 crore out of ₹325 crore in issued bills was collected.

Criticism of the YSRCP Government

Public Discontent: The tax faced backlash for being imposed without public consultation. Protests, especially from women, erupted across the state.

Strict Enforcement: Measures included cutting water supply to defaulters and weekly collection drives by volunteers, further intensifying public anger.

TDP’s Stance and Historical Context

During the TDP regime (2014–2019), municipal taxes were not increased, ensuring no additional financial burden on residents. The TDP’s policies set a benchmark, contrasting sharply with the YSRCP’s approach.

NDA’s Role in Policy Reversal

The NDA coalition, which governs at the central level, had pledged to abolish the garbage tax before elections. This promise, along with public sentiment, led to a Cabinet resolution on October 16, 2024, to repeal the tax.

Future Inquiry and Policy Directions

Minister Narayana announced a probe into how the garbage tax benefited contractors under the YSRCP regime. This marks a renewed focus on transparency and an attempt to streamline waste management funding without taxing citizens directly.

Summery of the news

Key Point	Details
Why in News	Andhra Pradesh Legislative Assembly passed a bill on November 21, 2024, to abolish the garbage tax introduced by the YSRCP government. The decision aims to investigate contractor benefits and reduce financial burdens on citizens.
State	Andhra Pradesh
Chief Minister	N. Chandrababu Naidu
Capital	Amaravati
Tax Details	Households were charged ₹30–₹120, while commercial properties paid ₹100–₹10,000 under the garbage tax.
Monthly Expense	Maximum monthly cost for garbage collection was ₹13.9 crore.
Introduced by	YSRCP government
Repealed on	November 21, 2024
Criticism	Tax imposed without public consultation; protests by citizens, especially women.
NDA Involvement	The NDA government had pledged to abolish the tax before elections.
TDP Period	No increase in municipal taxes during the TDP tenure (2014–2019).