Redevelopment of Mumbai’s Dharavi delayed further

In what spells further delay for Dharavi revamp, the Maharashtra government on Thursday decided to scrap the tender process for the project once again, following

In what spells further delay for Dharavi revamp, the Maharashtra government on Thursday decided to scrap the tender process for the project once again, following a decision taken by a committee of secretaries (CoS) headed by chief secretary Sanjay Kumar.

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In February 2019, the tender to revamp the 601-acre area was bagged by the United Arab Emirates (UAE)-based SecLink Technology Corporation (STC), and funded by the UAE royal family. However, problem surfaced in March, when the erstwhile state government led by Devendra Fadnavis acquired a 45-acre railway land for ₹800 crore for the project. In January 2020, a committee of secretaries sought legal advice from the advocate general Ashutosh Kumbhakoni on calling for fresh tenders considering acquisition of the 45-acre railway land for the project as it could bring extra benefit for the preferred bidder. AG in his response told the CoS that fresh tenders needed to be called for, as the costs of the railway land and rehabilitation was added later and not incorporated in the original tender document, which was accepted and the committee of secretaries decided to scrap the tenders on August 27, the officials said.

“The state cabinet has decided to accept the decision made by the committee of secretaries to scrap the tenders on August 27. It has also allowed the Dharavi Redevelopment Authority to call fresh tenders for the ₹28,000-crore ambitious project,” said a senior official from the state housing department.

The Dharavi revamp project commenced on February 4, 2004, but has been marred with controversies, with one of the key issues being the eligibility for the redeveloped flats, as it was found that a majority of present residents did not qualify for new houses. The constant flip-flops by the government have also driven away many builders.

Meanwhile, the state has also issued fresh guidelines related to redevelopment of old and dilapidated cessed buildings of Mumbai city. It has asked the state housing department to issue fresh guidelines over registration and eligibility of developers for cessed buildings. Considering the interest of tenants, the state has made it mandatory for the owner or developer to open an escrow account and pay one year’s rent in advance to the tenants till the project is completed. It has directed to constitute a committee to monitor redevelopment of the building. It will comprise an architect to be appointed by taking no-objection certificate from tenants. It has also made it mandatory for developers to complete the redevelopment project within three to five years.