State issues policy to make way for smart townships

In a move aimed at setting up more smart cities across metropolitan areas adjoining cities and towns in Maharashtra, the state government on Monday issued a special township policy for integrated development of more than 100 acres of land.

In a move aimed at setting up more smart cities across metropolitan areas adjoining cities and towns in Maharashtra, the state government on Monday issued a special township policy for integrated development of more than 100 acres of land. The policy, revised for the third time since it was introduced a decade ago, plans self-sufficient modern townships with developers being tasked with providing and maintaining public amenities, basic infrastructure, commercial activities and smart facilities, including broadband connectivity and CCTVs.

Like in the earlier policy, 20 per cent of the residential built-up area in these townships will be reserved for social housing made up of smaller tenements for the low-income group and economically weaker sections.(HT Photo)

Like in the earlier policy, 20 per cent of the residential built-up area in these townships will be reserved for social housing made up of smaller tenements for the low-income group and economically weaker sections. But the sale of these tenements has been simplified through a state-operated lottery system.

In exchange, the developers will get an enhanced floor space index (FSI) in the range of 1.7 to 2, instead of the earlier 0.8 to 1.7. While the base FSI has been kept at 1, the remaining vertical development rights will be made available for a premium. FSI refers to the ratio of the built-up area to the total plot area.

The new policy is expected to give a leg-up to several big projects in Raigad and the Mumbai Metropolitan Region, where large land parcels are already partially in control of big developers. In its earlier avatar, the policy was criticized for being “non-transparent and tedious”, with only 17 projects getting approved in a decade. The policy got a cabinet go ahead last month.

The state urban development department’s notification issued on Monday -- which is now open to public scrutiny for suggestions and objections -- states the government’s intention in revising the policy.

“To utilise the maximum development potential, to attract foreign direct investment in the field of special township project, to develop smart townships through privatisation without any expenditure by the government and to bring clarity in the process of approval.”

Whether these objectives will be achieved in a real estate market, which is currently witnessing a slowdown, whether land owners and original residents will benefit from this development remain to be seen.

The good news is the policy ensures developers will reserve 15 acres out of the proposed 100 acres for public amenities such as markets, town hall, school, public health care and economic activities like shopping and theatre.

A total of five per cent of the master layout area has to be reserved for gardens and another 7.5 per cent for play grounds, besides reserving space for public utilities such as a fire brigade station, police station, sewage treatment plant etc. For the first time the policy has also mandated the developer provide facilities to make the township smart by providing timely transportation system, pedestrian friendly pathways, cycle tracks, broad band connectivity, better power management.

“The smart facilities are mandatory and as understood by the Government of India definition. The emphasis of the policy is now make clearance procedure easier and a stress on making these townships as truly walk to work independent townships, which can also generate some employment and have mixed population instead of gated complexes,’’ said a senior bureaucrat.

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