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Pune metro's proposed development charge hike sparks local debate

In recent developments, the Pune Metropolitan Region Development Authority (PMRDA) has proposed significant changes in the development charges associated with the third Metro line, raising questions and concerns within the community. The aim of these changes is to fund essential urban transport projects, including the Metro, under the framework of the Maharashtra Regional Town Planning Act (MRTP). However, these changes have sparked a debate that calls for a more thoughtful and region-specific approach.
Under the proposed adjustments, areas in close proximity to the Metro would experience a 100% surge in development charges, whereas interior areas would face either a 75% or 50% increase based on their growth potential. The underlying rationale is to ensure that areas directly impacted by the Metro project bear the brunt of the financial burden.
This initiative would have a notable impact on 23 merged villages near the Metro line, where the charges are set to increase from 0.5% to 1%. On the other hand, interior areas may experience a decrease in charges, aimed at encouraging development and investment in these regions.
The PMRDA is currently implementing a 23km third Metro line, stretching from Hinjewadi to Shivajinagar, through a public-private partnership model. The proposal to amend the development charges has been forwarded to the Urban Development Department (UDD) for final approval.
It's important to note that the MRTP Act allows PMRDA to impose a 100% additional development charge on construction projects. However, the proposal for these changes has led to discussions regarding the need for a potential amendment to the act.
Chief Minister Eknath Shinde directed PMRDA to submit a sector-specific revised plan for collecting additional development charges for infrastructure projects, effective from May 2023. The CM's decision to retroactively waive 100% development charges from July 2018 to April 2023 demonstrates a commitment to balancing the interests of developers and the community.
PMRDA officials anticipate collecting an extra development charge of Rs 332 crore from those granted permission to construct buildings in the region, a direct result of the Pune Metro Line 3 project.
The builders have voiced concerns about the proposed uniform charges, advocating for charges that are more nuanced and tailored to specific regions. It is worth noting that similar efforts to impose doubled development charges for Metro projects have been waived in Nagpur and Thane.
The proposed changes in development charges reflect a delicate balancing act between funding crucial infrastructure projects and ensuring affordability for homebuyers. It is clear that a one-size-fits-all approach may not be suitable for the diverse landscape of the Pune Metropolitan Region. As the proposal makes its way through the approval process, it is essential to take into account the specific needs of different areas and the welfare of the community as a whole.

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