Pune civic body may suffer loss of Rs1,000 crore: Ujwal Keskar

Independent corporator Ujwal Keskar said that the Pune Municipal Corporation (PMC) would suffer a loss of Rs1,056 crore if its resolution for converting agriculture land in Mundhwa into residential zone was implemented. He requested the state government to cancel it.

The PMC standing committee on October 20 had passed a resolution that 950-acre in Mundhwa is to be converted into residential zone under section 37 of the Maharashtra Regional and Town Planning (MRTP) Act, 1966. The proposal would be forwarded to the state government, after inviting suggestions and objections and conducting a public hearing.

Keskar, in a letter to chief minister Prithviraj Chavan, who holds the charge of urban development department, has said that as per the earlier resolution of PMC general body (GB), floor space index (FSI) of only 0.33 was permitted for Mundhwa land. If somebody wanted to do additional construction up to FSI of 1, then the developer was required to pay premium amount for additional FSI.

FSI is a proportion of the area of land and the permissible construction on it. If there is FSI of 1, then total construction equal to the area of land is allowed.

Keskar’s letter states that the administration proposed to convert agriculture land of 950 acres, that is 3.8 crore square feet, into residential one. It is also proposed to allow FSI of 1 without charging any premium. But considering the earlier resolutions, FSI of 0.33 (construction on area of 1.15 crore square feet) should have been allowed free, and premium should have been charged on the rest of 2.64 crore square feet area.

He said that as the PMC has not proposed to charge premium on the 2.64 crore square feet, it is likely to suffer a loss of Rs1,056 crore if 50% of ready reckoner rate is charged for the premium.

He said that the PMC was likely to suffer heavy loss due to the recent resolution of GB about Mundhwa, and also the resolution is in contradiction to the earlier resolutions.

Keskar had earlier requested the chief minister to cancel the resolution under section 451 of Bombay Provincial Municipal Corporation (BPMC) Act, 1949. He has submitted the complaint about possible loss for the civic body to the CM.