Project-affected persons to get Rs 25-40 lakh from BMC instead of 300 sq ft homes, ET RealEstate

June 24, 2023

MUMBAI: The BMC will pay at least Rs 25 lakh to a maximum of Rs 40 lakh to those whose residential units have to be demolished to make way for vital infrastructure projects in the city. The compensation is to be paid in lieu of 300 sq ft tenements to project-affected persons (PAPs), mainly slumdwellers who have proved they were living in those areas before January 2000.

The BMC at present requires 36,221 tenements for PAPs of five vital infrastructure projects as well as residents of old, dilapidated and dangerous buildings on BMC land, commonly known as BMC estates. The number is expected to go up to 40,000 in the near future. The generation of rehabilitation tenements has been insignificant, leading to the decision to provide monetary compensation.

These tenements are usually generated through slum rehabilitation schemes. When a slum rehabilitation scheme is implemented, the builder pays a 25% premium for the encroached land and offers a portion of tenements to the Slum Rehabilitation Authority. These are passed on to the BMC and MMRDA as tenements for PAPs.

The policy of monetary compensation was approved in 2021 but the actual amount to be paid was finalised only in May this year (see box). When the BMC decided to work out the actual compensation, it found that in F/North (Sion) ward it would be Rs 23.8 lakh for a 300 sq ft tenement, in L (Kurla, Chunabhatti) ward it would be Rs 24 lakh, G/South (Prabhadevi) ward it would be Rs 46.6 lakh, G/North (Dadar) Rs 50 lakh. It decided to fix the Rs 25-40 lakh band.

On Monday, Atul Bhatkalkar, BJP MLA from Kandivli (East), was the first to obtain approval for monetary compensation for slumdwellers whose homes are a hurdle to the development of the 120m-wide and 6km-long Magathane-Goregaon road which will connect to the Goregaon Mulund Link Road. Deputy CM Devendra Fadnavis approved compensation for the project.

“This road has been proposed in the Development Plan 1991. It has been developed in some parts near Magathane but most of it is under slums. Six months ago, I was able to get this road declared as a vital infrastructure project along with the widening of the Poisar river that passes through my constituency. The entire river stretch has been declared a vital infrastructure project,” said Bhatkalkar, explaining the background to the monetary compensation.

In case of the Poisar river project, Bhatkalkar said PAP tenements will be offered to the affected slumdwellers at Appapada in Malad (East). “This will ensure the entire river stretch is cleared and widened in one go rather than in patches,” he said.

  • Published On Jun 14, 2023 at 09:37 AM IST

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