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Civic infrastructure projects in Mumbai to see fewer delays, as BMC decides to modify rules

Civic body to offer shopkeepers affected by projects compensation based on property rates in Ready Reckoner, instead of trying to rehabilitate them.

mumbai Updated: Nov 11, 2017 13:16 IST
Eeshanpriya MS
Eeshanpriya MS
Hindustan Times
The decision on offering monetary compensation to shops will come up for approval in the BMC’s general body meeting soon.(HT File / Photo for representational purpose)

The Mumbai civic body’s infrastructure projects are likely to pick up pace now as it has decided to compensate project-affected persons (PAP) - specifically commercial property owners - on the basis of property rates in the Ready Reckoner.

For many projects, the greatest challenge is PAP, who are unwilling to hand over their land and move. Currently, the Brihanmumbai Municipal Corporation (BMC) only offers alternative accommodation to those affected, which is often not a good enough incentive to shift. It tends to delay projects as PAPs often dispute the accommodation offered to them.

The decision will come up for approval in the BMC’s general body meeting soon. The decision pertains specifically to shops that come in the way of civic projects such as road-widening, construction of flyovers and widening nullahs. It does not include compensation for houses affected by projects.

As per the new decision, shops that have come up before 1962 will get 100 per cent compensation as per the value of the property as per prevailing Ready Reckoner rates; shops that have come up after 1962 will get 75 per cent.

Ravi Raja, leader of Opposition in the BMC, said: “We have proposed that this be made applicable for all PAPs retrospectively, from January 1, 2017.”

Raja said the decision has become necessary as the BMC is running out of space in its market buildings, where usually alternative shops are provided to PAPs. “Also, many shopkeepers are hesitant about taking shops on higher floors in the BMC markets as they believe it will affect their business. In that sense, this is a welcome move, as shopkeepers will be able to use their compensation to set up a shop wherever they want,” he added.

Both the Congress and the Shiv Sena also plan to demand 100 per cent compensation to all PAPs, regardless of how old their structures are, sources in the BMC said.

As of now, there is around 8,670 sq ft of space available in the BMC’s markets, but it is yet to rehabilitate 1,574 shops, which will need a total of 2.83 lakh sq ft of space.

First Published: Nov 11, 2017 13:16 IST