State gears up to roll out new housing policy after 17 years

The state government plans to implement a new housing policy, including setting up a university for skilled manpower, promoting rental housing for migrant workers, and building affordable colonies for the elderly. The policy aims to make more land available to developers, ensure quick project approvals, and integrate existing incentives. The focus will be on the "walk to work" concept in industrial areas. The policy is expected to come into effect next financial year. Stakeholders, including developers and consumer forums, have been consulted, and a consultant has been appointed to draft the policy.

The state government will roll out a new housing policy that is expected to thrust upon setting up a university to produced skilled manpower, promoting a rental housing scheme for migrant workers, and building affordable and elderly people-friendly colonies.

HT Image

The last time such a policy was implemented was in 2007 which has now become redundant. The housing department had even drafted policies in 2015 and 2021 but they were never approved by the state cabinet.

This time, the department has held multiple meetings with the stakeholders including the organisations representing developers and consumer forums. It has appointed a consultant to help the government draft the policy by studying newer trends in the construction industry and technologies introduced across the globe and devising a people-friendly approach to make affordable housing possible.

The policy will in all probability come into effect from the next financial year, people aware of the matter said.

An official from the chief minister’s office said the policy will make more land available to developers and ensure that the projects get quick approvals, and the existing incentives are integrated.

The focus will be on the ‘walk to work’ concept that is expected to be implemented in the industrial areas such as Chakan, Maharashtra Industrial Development Corporation areas in Nashik, Aurangabad and other cities, and part of the Mumbai Metropolitan Region (MMR), the official said.

“Like the integrated township planned in Navi Mumbai, there could be residential plots in industrial areas to promote the ‘walk to work’ concept. This would help us reduce the burden on public transport and boost the work culture,” he said and added that this will help avoid a large-scale migration of workers such as the one that happened during the pandemic.

Apart from this, the policy will promote rental housing among the working class, especially the migratory workers. The townships are expected to be constructed and operated by developers, the official said.

“The organisations representing the construction sector have expressed their desire to set up a dedicated university to produce skilled workers and have sought government support. For example, aluminium shuttering is the buzzword in the construction industry but there is severe shortage of skilled manpower for it. They said labourers with skills could earn at least three times the current wages,” he added.

Organisations such as MCHI-Credai, Builder Association of India, and Narcado were called for the meetings with officials from the housing department.

An official from Mantralaya said the 2007 policy has become redundant, and it mostly speaks about floor space index (FSI), transferrable development rights (TDR) and MahaRERA.

“The department had drafted policies in 2015 and 2021 but they were never approved by the state cabinet. We are aiming to complete drafting the new policy in the next three months, after which it will be made available for suggestions and objections from the general public. The policy is expected to be rolled out from the next financial year,” the official said.

The official further said since the possibilities of giving more FSI, premium or the TDR have exhausted, the new policy will focus on adopting newer technologies and to make it people-friendly. The policy is also expected to have provisions for hostels for working women and students.

When contacted, additional chief secretary Valsa Nair, housing department, refused to comment on the matter.

Keval Valambhia, chief operating officer, MCHI-Credai, said they have submitted their suggestions which are expected to be incorporated in the proposed policy.

“We expect revolutionary steps to be taken by the government for the slum redevelopment and want to look at the parameters set for affordable housing. The definition of affordable housing for which the benefits under various schemes like Prime Minister Awas Yojana are extended is the house under 60 square metres or the house priced below ₹45 lakh. These parameters are not possible to comply with in cities like Mumbai. We have suggested a change in the metro housing index to enable compliance with the norms. The government should use the TDR available in MMR for affordable housing and we have also submitted a detailed research report on rationalising premium,” he said.