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Property rights charges in illegal colonies to rise by 8% annually in Delhi

The Delhi Development Authority (DDA) has approved an annual 8% increase in charges for obtaining property rights in unauthorized colonies under the Pradhan Mantri-Unauthorized Colony in Delhi Awas Adhikar Yojana (PM-Uday scheme), according to a recent gazette notification. This revision comes into effect from April 1, 2022, and marks a significant change in the cost structure for property ownership in these areas.

In compliance with Section 57 of the Delhi Development Act, 1957, the DDA, with the prior approval of the central government, has amended the National Capital Territory of Delhi (Recognition of Property Rights of Residents in Unauthorized Colonies) Regulations, 2019. The gazette notification clarifies that the initially approved charges will remain valid until March 31, 2022, but will be subject to an 8% increment every year thereafter.

For those who submitted their applications before April 1, 2022, the existing charges applied. For instance, an applicant seeking property rights for a 100 square meter property in an unauthorized colony falling under the 'G' category on government land had to deposit charges amounting to Rs 5,775. However, for applications filed after March 31, 2022, but before April 1, 2023, the fee increases to Rs 6,237 (Rs 5,775 + 8% increase of Rs 462). For subsequent years, the charges will continue to rise accordingly. Detailed information on charges under various categories can be found on the PM-Uday portal.

The Pradhan Mantri-Unauthorized Colony in Delhi Awas Adhikar Yojana (PM-Uday scheme) was launched in October 2019 with the primary aim of conferring ownership rights to properties in 1,731 illegal colonies across Delhi. To facilitate the registration of these properties, the NCT of Delhi (Recognition of Property Rights of Residents in Unauthorized Colonies) Act, 2019, was enacted on December 12, 2019. This initiative was anticipated to benefit around 40 lakh residents living in unauthorized colonies.

Despite the scheme's ambitious goals, as of February 2022, only 12,500 property owners had been granted ownership rights, leaving a substantial number of applicants still awaiting their property rights under PM-Uday. The recent increase in charges, while aimed at bolstering government revenue, may pose additional challenges for residents seeking legal recognition of their properties in unauthorized colonies.

The DDA's decision to raise charges for property rights in unauthorized colonies reflects an ongoing effort to regularize these areas and provide residents with legal ownership. However, the impact of this increase on applicants and the overall success of the PM-Uday scheme remains to be seen in the coming years.

In conclusion, the Delhi Development Authority's recent approval of an 8% annual increase in property rights charges for unauthorized colonies marks a significant change in the cost structure for ownership in these areas. This move, while aimed at regularizing unauthorized colonies, may pose challenges for applicants seeking legal recognition of their properties.

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