Why PG owners in Bengaluru are resisting BBMP's new regulations

BBMP aims to regulate over 20,000 unaccounted paying guest (PG) accommodations in Bengaluru, citing concerns about unchecked proliferation impacting neighborhoods. PG Owners Association contests, stating licenses for 20,000 PGs exist, highlighting their role in providing affordable housing. BBMP emphasizes financial discrepancies, misuse of residential spaces, and revenue loss due to unregulated PGs, advocating for necessary regulation.

The Bruhat Bengaluru Mahanagara Palike (BBMP) has taken a stance to regulate paying guests (PGs) under its jurisdiction, revealing a discrepancy in the number of PGs currently unaccounted for in the city. Sources from BBMP estimated around 20,000 PGs operating within Bengaluru, with ongoing efforts to count additional establishments.

These PG accommodations are swiftly emerging in proximity to colleges, hospitals, IT hubs, malls, and work areas, often without securing necessary permissions from any relevant authority, including the BBMP. Concerns have been raised about the unchecked proliferation of PGs within residential areas, impacting neighbours adversely and even witnessing some residential buildings converting into commercial spaces under the guise of PG accommodations.

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Contradicting these concerns, Arun Kumar, President of the PG Owners Association, contests the BBMP's move. Kumar asserts that they have obtained trade licenses for approximately 20,000 PGs accommodating nearly 17 lakh professionals and students. He emphasizes the pivotal role played by these PGs in offering affordable housing and sustenance in a city where rents are escalating.

Despite this, BBMP has expressed concerns over the unregulated nature of these PGs, pointing out discrepancies in fee collections, the absence of financial transparency in many PG establishments, and the misuse of residential buildings for commercial purposes without proper declarations.

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Notably, many of these PGs target students from other states and often exceed their prescribed capacities by accommodating additional employees and students. Moreover, some PGs benefit from lower utility rates by not declaring themselves as commercial establishments, which BBMP views as detrimental to government revenue.

BBMP has highlighted that the lack of regulation not only affects government revenue but also impacts the local neighbourhood adversely. They argue that the implementation of regulations will not only benefit the government but also ensure the well-being of residents and the community in general.