Centre approves norms to grant ownership in Delhi’s unauthorised colonies

Taking a rather political decision, the Union Cabinet on Wednesday approved the norms for regularising land and house ownership in over 1,700 unauthorised colonies in Delhi.

Addressing a press conference after the Cabinet meeting, Minister of State (Independent Charge) for Housing and Urban Affairs, Hardeep S Puri said that a Bill for the same will be brought in the next session of Parliament.

“Delhi’s population in 1947 was 8 lakh. Some 11 lakh more refugees came to live in the city after the partition. Today, the population of Delhi-National Capital Region is over 2 crore. The Delhi government has been engaged in the task of improving the conditions of these unauthorised colonies...housing structures in these colonies are unsafe,” Puri said.

Puri said this decision will be applicable to 1,797 identified unauthorised colonies, which are inhabited by lower income group society. The decision does not apply to 69 affluent colonies identified by the Delhi Development Authority, including Sainik Farms, Mahendru Enclave and Anant Ram Dairy.

“The unauthorised colonies and the area they covered were identified in 2008. Since then the coverage of these 1,797 colonies has grown. For the purpose of this regularisation exercise, the area covered by colonies in 2015 will be taken. No new unauthorised occupations will be allowed to avail this scheme,” an official aware of the decision told BusinessLine .

“The rights will be conferred on payment of nominal charge based on carpet area/plot size. For colonies on government land, the charge will be 0.5 per cent (for less than 100 square metre), 1 per cent (for 100 - 250 sqm) and 2.5 per cent (for greater than 250 sqm), of the circle rate of highest category of locality of the residential area surrounding the unauthorised colony,” an official statement said.

Charges for colonies on private land

For colonies on private land, the charge will be half of the charge on government land, the statement added.

According to Puri, the decision is expected to benefit nearly 50 lakh residents of unauthorised colonies spread over around 175 sq kms, as development and redevelopment can now take place in these colonies.

To implement this decision, the Central government will introduce a Bill for recognising General Power of Attorney (GPA), Will, agreement to sell, purchase and possession documents, which will be a one-time relaxation for this purpose for the residents of unauthorised colonies. The Bill will provide for registration charge and stamp duty on last transaction and also address the issue of income tax liability on account of less than circle rate charges, the statement said.

Multiple plots and flats holders will be charged on the rate applicable to area by clubbing all properties. The residents will have option to pay charge in three equal instalments to be paid in a year. Any person paying full amount in one instalment will get the ownership rights immediately. Provisional rights will be given on payment of two instalments, which will be converted to permanent rights after full and final payment.

A late payment will attract simple interest of 8 per cent per annum. The conveyance deed will be executed for residential purpose, irrespective of use, the statement said.

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