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BMC voices concerns over the DP 2034 TDR rules for Dharavi

The Brihanmumbai Municipal Corporation (BMC) has raised objections to the Maharashtra government's proposal that 40% of all Transfer of Development Rights (TDR) used in construction projects in Mumbai must come from the Dharavi redevelopment project (DRP). The state government's draft notification, issued in November, also suggested doing away with indexation for the DRP TDR, which would cost up to 90% of the plot where it is utilized. The BMC, as the planning authority for the city, submitted objections, citing concerns about the feasibility of implementing the Development Plan (DP-2034) and potential challenges in acquiring reserved land if conditions on Dharavi TDR utilization are imposed.

The BMC, in response to the state government's proposal, expressed reservations about the stipulated use of Dharavi TDR for 40% of additional floor space index (FSI) in construction projects, stating that it could make the implementation of Development Plan (DP-2034) challenging. The corporation highlighted the potential increase in purchase notices ten years after the sanctioning of DP-2034, leading to compulsory land acquisition and significant monetary compensation under the new Land Acquisition Relief and Rehabilitation Act, 2013. The BMC emphasized that the imposition of utilizing Dharavi TDR first could result in no takers for its TDR allocated for land acquired for roads and public amenities.

Additionally, the BMC opposed the proposal to eliminate indexation for DRP TDR, arguing that the government had already incorporated various provisions and concessions to make the Dharavi redevelopment project financially viable. The corporation cited the precedent of slum TDR and heritage TDR, where indexation was initially absent for one year but was later introduced. The BMC urged the government to adopt a holistic view of the matter, considering the unique circumstances and challenges associated with the Dharavi redevelopment project, which has been deemed a vital public project.

The Maharashtra government's proposed conditions on the utilization of Dharavi TDR in construction projects aim to streamline and prioritize the contribution of the Dharavi redevelopment project to the city's overall development. However, the BMC's objections underscore the complexity and potential hurdles associated with implementing such conditions, particularly in light of the broader urban planning considerations outlined in DP-2034. The ongoing dialogue between the BMC and the state government reflects the collaborative effort needed to balance the goals of redevelopment, infrastructure improvement, and equitable urban development in Mumbai.

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