In a double whammy for Nagpurians, after increase in the Ready Reckoner rates State Government has approved civic body proposal for 100 per cent increase in the development charges. If that was not sufficient now rubbing salt further on the wounds, Nagpur Municipal Corporation (NMC) notified that new charges would kick in with effect from June 30, 2016.

 

The backdated implementation of charges is going to create quite a row as it’s going to have pan-city effect resulting in all round confusion and further impact the already stressed property market. Apart from derailing existing big ticket projects, the civic body itself would have to bear the brunt in the form of increasing litigation leaving aside its other works, feels the experts.

 

Since the notification published by NMC is quite complex there was all round confusion among development and builders as to area of its applicability. Pramod Gawande, Assistant Director, Town Planning, NMC, confirmed that as per notification entire jurisdiction of NMC is going to be covered.

 

Means development plans sanctioned post June 30, 2016, are going to be affected and each one would now have to pay 100 per cent extra charges as per the NMC’s notification. He further said for residential purpose the development charges applicable is 2 per cent of RR and for commercial properties 4 per cent.

 

Disclosing this on Friday, Prashant Pawar, President, Jai Jawan Jai Kisan, Nagpur District unit, laid blame for this hike in development charges at doorstep of Maha Metro. As Metro services are running in losses ordinary citizens are now going to face the brunt in form of 100 per cent hike in development charges for no fault of theirs.

 

Gawande further mentioned that the hike in development charges are based on Ready Reckoner rates prevailing from time to time. He said as per under Sec 124 of Maharashtra Regional Town Planning (MRTP) Act, notices would now be issued to individuals, builders, property developers who were issued clearances for new constructions for paying these additional charges.

 

As to issue of recovery from back date, Gawande said the issue was pending since last four years and finally State Government notified the 100 per cent increase in development charges. Addressing a press conference at his Bajaj Nagar office, Pawar questioned the legality of the move to recover development charges in back date as it is going to thrown in lot of questions. For example in flat scheme, who would bear the extra the charges, the builder or developer or the owner and this is going to result in unnecessary disputes.

 

Pawar claimed that corporators were not taken into confidence by NMC while notifying the increased development charges. The issue never came before House of civic body and NMC using power vested it under MRTP Act notified the hike thereby kicking up a storm. Further why was NMC silent for four years when the development charges were to be hiked as per decision approved by State Government and why citizens were kept in dark. These questions need to be answered by civic officials as this amounts to open loot and when is this going to stop.

 

Since NMC coffers are empty it could not provide Rs 77 crore, the 5 per cent contribution in Rs 8600 crore mega Nagpur Metro project, and hence citizens are now going to be taxed in this way, through backdoor notification of hike in charges. Tomorrow NIT too can raise its hand if it cannot provide its 5 per cent share. Would then entire NMRDA region going to similarly face 100 per cent increase in development charges?, Pawar has questioned.