Naidu govt to adopt Dharavi model for slum redevelopment

The Andhra Pradesh government has come out with an ambitious plan to transform congested urban settlements by taking redevelopment involving the private sector on the lines of the Dharavi Redevelopment Project in Mumbai, officials familiar with the development said

The Andhra Pradesh government has come out with an ambitious plan to transform congested urban settlements by taking redevelopment involving the private sector on the lines of the Dharavi Redevelopment Project in Mumbai, officials familiar with the development said.

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A government order issued by Suresh Kumar, principal secretary, municipal administration and urban development on August 7 said the new redevelopment model for slums would be implemented on a pilot basis in the Velampeta slum in Visakhapatnam.

The proposed model has drawn inspiration from large-scale urban redevelopment models such as Dharavi, once the biggest slum of Asia. Under the Dharavi Redevelopment Project, a public-private urban regeneration mission was taken up with financing from a private developer, who was given land incentives and Floor Space Index (FSI).

The developer has taken up clearing of dense informal settlements, building free high-rise rehabilitation housing for eligible residents, and monetising commercial real estate.

“The Andhra Pradesh government, too, proposes to leverage the value of development rights to create modern housing for existing residents while minimising the direct financial burden on the exchequer,” Suresh Kumar said.

“The project will accommodate 177 housing units on a compact site measuring just 1,986.45 sq metres, through construction of a high-rise residential complex of up to 45 metres,” the GO said.

A key feature of the model is that instead of relying entirely on conventional government funding, the successful private bidder will undertake redevelopment against Transferable Development Rights (TDR).

The government has permitted a TDR ratio of up to 1:4 as the maximum bidding parameter, with the project to be awarded through a competitive tender process. The bidder will quote the TDR requirement competitively in lieu of the construction cost.

“This is expected to create a market-driven mechanism for upgrading valuable urban land while ensuring that existing residents receive proper housing,” the official said.

In order to make the project viable, the state government has also approved a series of special relaxations and exemptions under the Andhra Pradesh Building Rules.

“These include permission for a high-rise complex in a congested area, reduced setbacks, parking provision of around 10% of the total built-up area against the normally prescribed 22%, as well as waiver of specified fees and charges payable to GVMC, urban development authorities and other agencies,” the GO said.

Significantly, the state government has directed GVMC to execute the Velampeta redevelopment in a time-bound manner and treat it as a pilot project for replication in other slum pockets under the Visakhapatnam Economic Region Programme.

The initiative could therefore pave the way for a much larger programme of in-situ redevelopment across Visakhapatnam, where residents can receive modern housing without being permanently displaced from their existing neighbourhoods.

The government has also insisted on a post-allotment management framework covering maintenance of common areas, utilities and upkeep of the buildings before possession is handed over to beneficiaries. Fire safety, energy conservation and other statutory requirements will have to be fully complied with.

In the coming years, the model will be expanded to all major cities in the state. “The state government has also directed the commissioner and director of municipal administration to prepare a draft policy for slum redevelopment and middle-class housing, in consultation with all stakeholder departments,” Suresh Kumar said.