Maharashtra Keen To Regularise Unauthorised Constructions

Barring some exceptions, illegal and unauthorised constructions in Maharashtra may soon be regularised. Within six months of rolling out this order, authorities plan to invite applications from owners and builders and the case would be decided by the officials as to whether the building is fit to be regularised. 

However, the way forward is not a bed of roses.

The job of assessing numerous buildings in the state is a tough one, but it would certainly come as a major relief for many, including Campa Cola, which had built 35 floors over what was permitted.

Second, the move also creates a scenario of unpredictability. Is this the way out for developers who violated the law? Will violations be pardoned with a compounding fee? There have been PILs debating the efficacy of the Maharashtra Town Planning Act (MRTP). Also, the Bombay High Court had put down this proposal twice, and the state government was forced to come up with fresh draft.

As of now, it has been agreed that all constructions prior to December 31, 2015, stand to benefit from this move.

However, there have been some noteworthy developments, too.

• Thirty per cent relaxation has been permitted in construction norms regarding common areas such as staircase, passages, balcony, or terraces, while compounding illegal structures.

• The draft rules permit purchase of additional floor space index (FSI). The concession will be limited to consumption up to the prevalent FSI level. This will help developers who had constructed beyond the permissible limit.

• If the parking area is not possible to be provided for the individual building, the possibility of providing mechanical parking or a common parking space in the adjoining area can be considered. If this is not possible, concession in parking area requirement (should) be given by charging an additional premium at the rate of 20 per cent of the land rate in the prevalent RR (ready reckoner rate), said a notification.

• For cases of FSI violations, the draft rules stated that such construction can be considered for regularisation by procuring premium or fungible FSI, or transfer of development rights, as per applicable norms. Owners or occupants of such structures will have to pay compounding charges at 10 per cent of land rate over and above the premium for the extra FSI.

• Illegal development on land reserved for linear reservations such as roads, railways, Metros, in any plan will be shifted after following the due process of law.

Some must-know facts

• In Pimpri-Chinchwad alone, there are over 26,000 illegal structures on reserved land and over 1.5 lakh otherwise.

• Over 8,800 families are living in the MHADA’s transit camps. In the buildings redeveloped by the Slum Rehabilitation Authority (SRA), over 13,000 families are said to be occupying illegally. Either it was a case of fraudulent ownership of rights over the property or the flats were sold before the lock-in period expired. In the case of SRA flats, the lock-in period is 10 years.

• Although, these tenants could regularise their stay by paying a penalty, departments concerned say this could be contempt of the court.

An announcement that would act as balm to the wounds of those who have been duped into buying a home in unauthorised constructions, the Maharashtra state government has announced it plan to regularise all such developments up till 2015. The state will come out with a comprehensive policy on this and present it to the judicial system for an approval.

“This is an emotional matter for those, who have bought flats in such illegal buildings and are living there… this policy will be applicable in the entire state,” Minister of State for Urban Development Ranjit Patil said in the Legislative Assembly.

How would a policy like this help?

The Centre is trying to implement the provisions of the Real Estate (Regulation and Development) Act, 2016, in full swing. But it might take some time before the new legislation is able to clean up the real estate mess.  Those who have already fallen prey to unfair practices in the sector will get huge respite from the state policies such as the one Maharashtra is planning to implement.

It has to be noted that the large-scale urban development in major cities of the country has also given a boost to illegal constructions. Naïve home buyers often end up falling for lucrative deals without doing a proper research in project details. There have also been cases where developers themselves are not aware of the implications of starting construction on a particular site.

Many worry that by regularising illegal constructions, authorities may set a bad precedence. It may lead to an impression that developers could get away despite fiddling with the law. So, policies on regularising illegal construction must be made in such a way that the guilty are not spared while authorities try to deliver justice to the victims. As the minister pointed out home-buying is an emotional matter. However, the repercussions of policy decisions are long term and irreversible many times and they may do more harm than good.