Mumbai: MMRDA Receives Hundreds Of Proposals Under Bhiwandi Regularisation Policy, Approves Only A Fraction

Mumbai: The Mumbai Metropolitan Region Development Authority (MMRDA)’s drive to regularise unauthorised constructions in the Bhiwandi Surrounding Notified Area (BSNA) has drawn a flood of applications, but only a small percentage have been approved so far.

About The Policy

Launched in March 2022, the policy was introduced with the dual intent of reducing litigation over unauthorised structures and generating revenue to support the authority’s massive infrastructure projects. Under this initiative, owners of illegal constructions can have their properties regularised by paying substantial penalties, ranging from 20% to 100% of base premium rates, depending on the nature and extent of the violation.

Under the Regularisation Policy, MMRDA received 331 proposals, of which only 33 were approved, and 113 were rejected, while Pending (Deficiencies issued included 185)

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The majority of rejections — 113 in total — stemmed from non-conformity of zones as per the sanctioned development plan of BSNA and failure to submit necessary documentation.

Similarly, under the Compounding of Unauthorised Structures category, MMRDA received 194 proposals, of which rejected are 174 andbPending (Deficiencies issued) are 20.

Notably, not a single proposal under the compounding route has been approved, reflecting the stricter scrutiny and compliance requirements for such a structure, as per the official.  

The penalty is calculated on 25% of the base premium rate, derived from the government’s ready reckoner for stamp duty applicable in the approval year. Violations are classified based on their severity. Such as a 20% Penalty For work done beyond the Commencement Certificate (CC) but within approved plans. 40% penalty for similar work post-issuance of a stop-work notice.  70% Penalty. For unapproved construction within permissible plot potential, including setback areas. And 100% Penalty.  For unapproved work regularised via Transfer of Development Rights (TDR), amalgamation of plots, or additional Floor Space Index (FSI).

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Other infractions, such as change of use or unauthorised interior alterations, attract lower but still significant penalties.. 

MMRDA officials believe this policy creates a pragmatic framework for resolving widespread irregularities in urban construction. "This initiative not only brings illegal developments into the legal fold but also ensures that developers and owners contribute fairly to the city’s infrastructure push," said an MMRDA official.