Delhi Budget 2026: From LPG Cylinders on Holi, Diwali To ₹9,000 Crore for Water and Sewage

Delhi Chief Minister Rekha Gupta on Tuesday presented the Delhi Budget 2026-27, announcing a ₹1,03,700 crore outlay for the National Capital Territory and laying out a wide-ranging roadmap focused on infrastructure, water, roads, power, civic services and targeted welfare measures. One of the headline announcements in the budget was the provision of two free LPG cylinders per household every year, one each on Holi and Diwali.

Calling it a "green budget", Gupta, who also holds the finance portfolio, said the capital is moving through a period of transition and positioned the budget as a plan aimed at balancing welfare with long-term urban development.

Free LPG Cylinders, MCD Funds And Revenue Targets

Among the biggest public-facing announcements, the Delhi government has set aside ₹260 crore to provide one free LPG cylinder to every household on Holi and one on Diwali.

In the civic administration space, the government has allocated ₹11,666 crore to the Municipal Corporation of Delhi (MCD), signalling a major push towards strengthening municipal services.

Gupta also used her speech to take a swipe at the previous AAP government, saying a "culture of freebies" had affected Delhi's growth trajectory. She said the period between 2018 and 2020 witnessed a decline in revenue collection, which was during the Arvind Kejriwal-led administration.

For the coming financial year, the government has estimated tax revenue of ₹74,000 crore. The chief minister also highlighted Delhi's economic strength, noting that the city's per capita income is the third highest in the country.

Big Push For Roads, Connectivity And Urban Infrastructure

A significant portion of the budget has been directed towards infrastructure creation and urban mobility.

The government has earmarked ₹5,921 crore for the Public Works Department (PWD), while urban development and shelter projects have received ₹7,887 crore.

"Our aim is safe roads, climate corridors and flawless connectivity," Gupta said.

To improve road conditions, the government has announced ₹1,352 crore for dust-free roads, including the end-to-end recarpeting of 750 km of roads across Delhi.

In another infrastructure move, ₹151 crore has been allocated for extending the Modi Mill flyover up to the Kalkaji and Savitri Cinema intersection, while the overall project cost has been pegged at ₹371 crore.

The budget also includes ₹160 crore for industrial area development, which Gupta said marks the first such allocation for non-conforming areas.

Additionally, ₹454 crore has been earmarked for the Najafgarh drain, and ₹350 crore has been allocated under the MLA Local Area Development Scheme.

The Delhi government has also announced plans to build an integrated secretariat and residential complex for employees, indicating a broader institutional infrastructure upgrade.

Water, Power And Fire Safety Get Major Allocations

Water supply and sewage management emerged as another major focus area in the Delhi Budget 2026.

The government has allocated ₹9,000 crore to the Delhi Jal Board for water and sewage management, with Gupta saying the administration wants to ensure residents do not have to struggle for basic water access.

She specifically announced ₹475 crore for the Chandrawal water treatment plant, saying the aim is to ensure that "no resident has to hassle for water and stand in line for water tanker".

On the power front, the budget has allocated ₹3,942 crore to the power department. Gupta said the government is working on the removal of overhead wiring, for which a separate ₹200 crore provision has been made.

The budget also included a regional development push, with ₹300 crore announced for the trans-Yamuna area, while the Delhi Gram Vikas Board has received ₹787 crore.

Referring to the Palam fire incident, the chief minister said Delhi's narrow lanes and congested unauthorised colonies often make firefighting difficult.

"Citing the Palam fire incident, Gupta said narrow lanes and congested unauthorised colonies make it difficult to douse fires," she noted while announcing ₹674 crore to strengthen the city's firefighting infrastructure.

Consultations With Public Groups Before Budget Session

Ahead of the budget session, the chief minister held consultations with different sections of society to gather suggestions for the financial plan.

These meetings included interactions with the transgender community, gig workers, and labourers before the budget session began on March 23.

"The Delhi government's budget session, scheduled to begin on March 23, will be the (BJP) government's second budget. We have consulted with people from various sections of society to ensure that the Delhi government presents this budget in accordance with their suggestions. It should address public concerns and provide infrastructure for Delhi. We want to reach out to the public with a roadmap for a developed Delhi. Their participation is the biggest strength of this budget," the CM said.

With a mix of welfare announcements like free LPG cylinders, major allocations for roads, water, power, firefighting and civic infrastructure, and an emphasis on a "developed Delhi" roadmap, the Delhi Budget 2026-27 sets the tone for the BJP government's next phase of governance in the national capital.