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Hyderabad civic body uses TDR scheme to acquire land, saves money

The Greater Hyderabad Municipal Corporation (GHMC) has embraced the government's ground breaking Transferable Development Rights (TDR) scheme, deploying it ingeniously to acquire properties for essential infrastructure projects. With a visionary policy in place, they have successfully procured 1,923 properties, a testament to their progressive approach to urban development, as data from the municipal administration and urban development (MAUD) department reveals. Through the TDR certificate, property owners, whose land has been acquired, gain the opportunity to construct additional built-up areas anywhere in the city, empowering them with newfound flexibility and value. Moreover, they have the liberty to sell the TDR certificate. Undoubtedly, the TDRs have endowed GHMC with a strategic advantage in negotiations with property owners, streamlining the land acquisition process. The impressive acquisition of 812 acres within the GHMC limits bears testimony to the resounding success of this visionary approach, amounting to a remarkable cost-saving of Rs 9,665 crore for the government. As a feat of resourcefulness, GHMC has artfully managed to save a substantial Rs 4,832 crore in land compensation, a triumph under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation, and Resettlement Act (LARR Act). This proactive measure has contributed significantly to fiscal prudence and sustainable urban development. Harnessing the potential of TDRs, GHMC has judiciously allocated resources to diverse infrastructure projects. Notably, 44 percent of TDRs were channelled towards road widening, while 20 percent was allocated for the creation of vital missing link roads. The beautification of lakes and tanks received a commendable 18 percent, and 11 percent was strategically directed to the ambitious Strategic Road Development Plan (SRDP). In the spirit of sustainability, 6 percent of TDRs contributed to the expansion of nalas, and 1 percent was dedicated to the construction of peripheral roads, fortifying the city's connectivity. While GHMC has made remarkable strides, the adoption of TDRs by other municipal corporations and municipalities in the state is still a work in progress. Early iterations of the TDR policy faced limited enthusiasm from citizens. Subsequent revisions in 2012, which increased the TDR value to 200 percent of the area, and the introduction of enhanced land compensation under the LARR Act failed to garner widespread support among property owners, contributing to the reluctance in embracing this transformative policy. However, a turning point emerged with the 2017 policy update, which substantially elevated TDR values to 400 percent for master plan road widening, 200 percent for lakes/water bodies, and 100 percent for heritage buildings. Building on this momentum, the local authorities ushered in further amendments to building rules in December 2022. These visionary updates extended the TDR policy's reach to encompass the entire Hyderabad Metropolitan Development Area (HMDA) and introduced an online TDR bank, fostering seamless management of certificates and forging new frontiers in urban development. The success of GHMC's TDR implementation sets a compelling precedent for other municipalities, inspiring a future marked by innovation, resilience, and sustainable progress in urban landscapes. As these transformative policies continue to evolve, they hold the potential to shape vibrant and connected cities for generations to come.

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