Delhi Updates Excise Rules: License Fees Adjusted, New Policy in Development

Delhi Updates Excise Rules: License Fees Adjusted, New Policy in Development.webp

New Delhi, February 25 With a new excise policy still under finalization, the Delhi government has issued orders asking hotels, clubs, and restaurants (HCRs) to renew their licenses under the existing policy for the next financial year, 2026-27, officials said on Wednesday.

In June last year, the Delhi government extended the duty-based excise policy, which has been in effect since the 2022-23 licensing year, for the 2025-26 fiscal.

"The Competent Authority has granted approval for the renewal and issuance of new Hotel, Club and Restaurant (HCR) and Medicinal and Toilet Preparations (M&TP) licenses for the 2026-2027 licensing year, under the same terms and conditions as those of the 2025-26 excise year," an order from the excise department stated.

Necessary circulars may be issued in this regard by the relevant departments dealing with all the above licenses and permits under the Delhi Excise Rules, 2010, the order added.

The department has also increased the license fee by 10% for L-17/L-17F, L-18/L-18F, L-19/L-19F, and L 20/L-20F, under the HCR category.

"The department reserves the right to review the license fee, and if it is increased, the licensee shall be liable to pay the increased amount within the stipulated time period, failing which the department shall have the right to stop the transport permit of the unit or take any other suitable action," the order stated.

The existing policy has been in effect since 2023-24, when a reformative policy (2021-22) allowing private players in retail liquor sale was scrapped by the then AAP government in July 2022 amid allegations of irregularities.

According to officials, the excise department also plans to issue similar orders for L-6 and L-7 licenses for retail liquor shops.

Chief Minister Rekha Gupta last year instructed officials to prepare a draft proposal for the new excise policy. The government aims to come up with a new policy that ensures the supply of quality liquor with transparency, the officials said.

Under the existing policy, four Delhi government corporations operate retail liquor vends across the city.
 
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2025-26 fiscal 2026-2027 licensing year club licenses delhi excise policy delhi government excise department excise rules 2010 hcr licenses hotel licenses license fees license renewal liquor licenses m&tp licenses restaurant licenses retail liquor shops
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