HYDERABAD: The Ranga Reddy District Consumer Commission has determined that the Saket Pranaam flat owners’ association cannot impose a uniform maintenance fee for all residents. Instead, fees must be calculated based on each flat’s square footage.
This ruling stemmed from a complaint by SL Narasimha Rao, a studio-flat owner, who argued that it was inequitable for smaller units to pay the same maintenance charge as larger ones. Rao, whose flat spans 445 to 702 sq ft, challenged the association’s decision to impose a fixed fee of Rs 2,500 per month, which was later raised to Rs 3,500 following an extraordinary general meeting in August 2024.
Rao cited housing laws, including RERA guidelines, which mandate proportional maintenance fees, and referenced prior legal decisions that supported this principle. The commission concurred, stating that a uniform charge unfairly imposed a heavier burden on smaller-flat owners while effectively subsidizing larger unit residents.
The association defended its approach, asserting that uniform maintenance charges had been customary and that the majority of residents endorsed the increase. They justified their stance by pointing to shared amenities such as ambulance services, health centers, and food services, which are accessible to all residents.
The commission dismissed this argument, noting, “Imposing a uniform maintenance fee on all residents, irrespective of flat size, unfairly impacts smaller-flat owners. Charges must be calculated strictly on a per-square-foot basis to ensure equity and comply with established regulations.”
Partially accepting the complaint, the panel mandated the association to implement a square-foot-based maintenance model. Additionally, the association was ordered to compensate Rao with Rs 10,000 for mental distress and Rs 5,000 for legal costs. The association has 45 days to comply; failure to do so will result in an additional penalty of Rs 10,000.
