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Pay traffic challans or face power disconnection? ‘Add unpaid challans to electricity bills’, SC says while suggesting new recovery measure
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Moneycontrol•28-09-2026, 16:10
SC Suggests Linking Unpaid Traffic Challans to Electricity Bills, Power Disconnection
  • •The Supreme Court suggested adding unpaid traffic challans to electricity bills, with power disconnection as a consequence for non-payment, to improve recovery rates.
  • •Justice JB Pardiwala emphasized that merely issuing e-challans is insufficient; effective recovery of fines is crucial, noting that States/UTs have Rs 45,000 crore in e-challan dues.
  • •The court proposed blocking vehicle registration renewals, duplicate certificates, and ownership changes for vehicles with outstanding challans.
  • •Suggestions also included blacklisting vehicles on the Parivahan portal, blocking ownership transfers, and suspending/preventing renewal of driving licenses.
  • •The SC recommended linking PUC certificates to challan compliance and impounding vehicles found with unpaid e-challans during random checks.

Key Questions Answered

The Supreme Court suggested exploring unconventional methods, including adding unpaid traffic challans to electricity bills and disconnecting power connections if the dues are not cleared.

States and Union Territories collectively have around Rs 45,000 crore in e-challan dues, out of which approximately Rs 25,000 crore has been successfully recovered.

The court recommended blocking the renewal of registration certificates, duplicate certificates, fitness certificates, and vehicle ownership changes, alongside blacklisting vehicles on the Parivahan portal.