Mumbai: The Maharashtra cabinet on Tuesday approved a comprehensive land acquisition and allotment policy that will apply to all projects to be implemented by the New Town Development Authority for the Third Mumbai project.
The policy will provide clear direction for planned urbanisation, industrial investment, logistics, residential-commercial projects, and infrastructure development in the Atal Setu influence area, where Third Mumbai is being developed, officials said..
The policy will also apply to future projects executed by the Mumbai Metropolitan Region Development Authority (MMRDA).
For the Third Mumbai project, land will be acquired via mutual consent agreements under section 126 (1) of the Maharashtra Regional and Town Planning Act, 1966, or by determining compensation under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, the policy said.
Under section 126(1), provisions have been made to compensate landowners through Floor Space Index (FSI) or Transferable Development Rights (TDR), instead of cash, and additional FSI/TDR where required.
To attract industries to undeveloped areas, approval has been given for implementing a ‘pass-through policy’, wherein the cost of land acquisition and infrastructure development will be recovered from plot holders in installments.
The entire cost of land acquisition, registration fees, and establishment charges will be borne by the plot holder, while the MMRDA will levy a 15% establishment charge and allot land on “as-is-where-is” basis.
Industries bringing Foreign Direct Investment (FDI) in the Atal Setu influence area will be allotted plots on priority as per MIDC policy. A minimum land requirement of 100 acres would apply, along with investment of at least ₹250 crore per 100 acres within four years. Sale or transfer of undeveloped land will not be permitted.
The MMRDA, which will get a new office in Navi Mumbai, will prepare detailed land allotment rules and submit them for government approval. The authority will also formulate a model to maximise revenue through infrastructure development.
Maharashtra Chamber of Housing Industry president Sukhraj Nahar said since a Third Mumbai was being built, the government must accommodate low-cost housing so that people can walk to work.
Former chairman and managing director of CIDCO GS Gill said that third Mumbai was growing on its own and planned intervention was required so that good infrastructure could be provided.
“Atal Setu has already provided road connectivity. Water connectivity can also be developed in three places in Third Mumbai. Multi modal transport is possible. The government must be careful on compensation to people,” Gill said.