WELCOME © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 1 SLUM REHABILITATION AUTHORITY © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 2 Background Since beginning of 20th century slums existed in Mumbai e.g. Dharavi, Matunga labour camp, etc. Pre & Post independence people from all corners of country came in search of job. Mumbai was the city of Employment opportunity Slum became the culture of Mumbai © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 3 Approach Approach – I (1950 – 1970) • Approach was to remove the slums and protect the land. • The Influx of migrant labor was so huge therefore the efforts to protect even private land proved futile • Large Area of public land encroached by slums Approach – II (1970 – 1990) • Since the removal and control of slum proved futile the humanitarian approach to recognize the slum was consider. • The Maharashtra Slum Area (Improvement, Clearance & Redevelopment) Act, 1971 came in existence. • Census of hutments carried out in 1976 and Identity Card/Photo passes issued to Slum Families. • Basic amenities such as water, drainage, toilet, pathways, street light were provided in slum area. • Slum Up-gradation program was implemented with World Bank assistance in mid 1980. • Slum land given on lease of 30 yrs to the co-operative society of slum dwellers at a nominal lease rent. • Soft loans for renovation of individual structures on as is where is basis was provided. • Redevelopment of slum dwellers was also initiated in Dharavi under PMGP. © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 4 Approach… Approach – III (1991-1995) • Redevelopment of slums started under SRD by making provision in Act and Rules. • Under DCR No. 33 (10) redevelopment of slum through owners/ developers /co-operative housing societies of slum dwellers/NGO was made permissible for censuses slum or slum dweller whose name appeared in the Electoral Roll of 1985 with FSI upto 2.5. • The Scheme proved not effective. Approach – IV (1995 Onward) • Formation of AFZULPURKAR COMMITTEE which recommended Slum Rehabilitation scheme. • Committee estimated 80% slum rehabilitation is possible in situ. • Committee relies on philosophy that “if inequality has to be removed there has to be unequal law” as giving free tenements to slum dwellers is not supported by housing philosophy but slum dwellers deserve this preferential unequal treatment to bring them into mainstream of social, cultural and economic fabric of this pulsating city. © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 5 Fact Finding Of Committee Slums and hutments are integral part of Mumbai. All have contributed to the industrial, economic and commercial growth of Mumbai. Houses in mumbai always remain unaffordable since british time therefore slum growth. To enhance their standard of living, an authorized dwelling unit is a first step in the right direction © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 6 Formation of Slum Rehabilitation Authority Government launched comprehensive Slum Rehabilitation Scheme in December 1995 Using land as resource Slum tenements are provided to slum dwellers at ZERO Cost Formation of Slum Rehabilitation Authority in December 1995 To cross subsidize the cost of Slum Rehabilitation tenements, the incentive FSI is given for construction of sale tenements © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Tenements constructed in sale component are allowed to be sold in open market 7 Challenges as on 1995 Total 8 Lacs of Families staying in slum. Population staying in slum is about 40 Lacs. Rehabilitation of the above population as early as possible. © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 8 Implementation of Scheme : Process The Slum dwellers co-operative society “select” developer to implement the scheme Eligibility of Slum Dweller: Must be slum dweller as on 1.1.2000 earlier it was 1.1.1995 Such developer shall have 70% consent of Eligible Slum dwellers family The Project submitted by such developer with 70% consent is admitted by SRA The proposal is scrutinized and if in order is accepted for further process The scheme is implemented in two part Rehab and Sale Component The Developer is allowed to construct sale component to meet his expenditure & profit The Eligible slum dwellers get 25.00 sq. mtr. tenement free of cost The Non-Eligible slum dwellers are removed from the land © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 9 Slum Rehabilitation Schemes : Types 1. In situ rehab scheme : Under Provision of D.C.R 33(10) • Rehabilitation is done at site of slums. 2. PAP tenement scheme: Under provisions of D.C.R 33(10) clause 3.11 • This scheme is meant for slum dwellers whose rehabilitation is not possible in-situ due to physical constraints like vital projects, footpaths, hillocks, etc. 3. Permanent Transit Tenement Scheme: Under provisions of D.C.R 33(14)D • Permanent Transit Tenement are constructed in situ by giving incentive FSI © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 10 Slum Rehabilitation Schemes : Features No financial burden on Government. Slum dwellers get a self contained 25 sq. mtr. i.e. 269 sq. ft. (earlier 225 sq. ft) carpet area tenement free of cost consisting of living room, kitchen/alcove, bed room, bath & WC. Underlying land is the resource for the scheme Cost of construction of the rehabilitation tenements is crosssubsidized from the sale of free sale tenements in the open market. The entity developing the slum rehabilitation scheme is entitled to free sale component in proportion to the rehab component. FSI upto 3 can be consumed for tenement density of 500 to 650 tenements per hector in situ , as against 1.33 / 1.00 FSI available for general sites. FSI upto 4 can be consumed for tenement density of more than 650 tenements per hector in situ with prior Govt. approval , as against 1.33 / 1.00 FSI available for general sites. © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 11 Slum Rehabilitation Schemes : Features Every slum structure existing as on 1/1/2000 or prior thereto is eligible 70% of the eligible slum dwellers in a slum can come together to form a society for implementation of slum rehabilitation scheme. Rehab tenement allotted to a slum dweller cannot be sold for a period of 10 years from the date of allotment. However it can be transferred to a legal heir with prior permission of CEO (SRA) A sum of Rs. 20,000/- per tenement is recovered as maintenance deposit from the developer for subsidizing the monthly maintenance of the rehab building For every 1.0 sq.mt. of rehab component construction, sale built up area allowed is Rehab 1.33 sq.mt. 1.0 sq.mt. 0.75 sq.mt. City © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 1.0 sq.mt. Suburbs Dharavi Max. FSI consumption allowed on plot is 3 12 Slum Rehabilitation Schemes : Status At a Glance Particular 33(10) 3.11 33(14)D Total No of S.R. scheme sanctioned LOI Issued 1,233 51 120 1,404 No of tenement proposed to be constructed 3,36,725 1,26,343 8,569 4,71,637 No of tenement approved 2,20,351 1,24,704 8,213 3,53,268 No of tenement under construction 1,39,619 81,089 5,860 2,26,568 No of Tenements OCC granted 85,159 75,225 1,992 1,62,366 © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 13 Slum Rehabilitation Schemes : Objectives 8 Lacs families were targeted for rehabilitation Protection of slum dweller existed as on 1/1/2000 Rehabilitation of protected slum dwellers in permanent tenement Rehab Tenement free of cost Upgrading standard of living and eradicating slums No Financial burden on Government Empowering the slum dwellers © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 14 Slum Rehabilitation Schemes : Status against Set Objectives Approximate 12 Lacs families living in slum as against 8 Lacs targeted 3,293 slum cluster were identified 1.58 Lacs tenements constructed so far 1,25,907 tenements were occupied Constructions of 3 Lacs tenements are in pipeline Rs. 583 Crs revenue generated for MCGM & MHADA © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 15 Slum Rehabilitation Schemes : Bottlenecks in achieving Objectives Slum Dwellers Related issues: Land owner's are neither submitting scheme nor giving consent for the scheme To obtain 70% consent from slum dwellers To deal with non consented slum dwellers To deal with consented but non-co-operative slum dwellers Eviction of large nos. of non eligible slum dwellers (33/38) Developer Related Issues : Non-performing developer (partner's dispute) Problem in raising of finance © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 16 Slum Rehabilitation Schemes : Bottlenecks in achieving Objectives Policy Related issues: CRZ Area NOC from MOEF /Civil Aviation Dept./Navy/Defense/Wireless Station etc. No policies for Central Govt. Land S.R. Scheme in difficult area (hilly area) Scheme on RG/PG (DP Reservation) Commercial unit having more area are eligible only up to 225 sq. ft. irrespective of their more area & planning constraints Non-availability of adequate transit camps or alternate accommodations Various departmental competent authorities © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 17 Slum Rehabilitation Schemes : Way Forward Policy regarding slum on Land owned by Central Govt. Slum area is to be considered as a residence zone in new proposed DP. Granting Incentive FSI for construction of affordable housing Giving time period to submit schemes or else tender Breaking eligibility and consents / consent through secret ballot Town planning Schemes Wholesome GIS based survey of entire city for the identification of eligible slum dwellers To address issues of Non-Eligible slum dweller : Needs a Policy for Hybrid scheme Pro-active development rather than reactive responses Declaring slum like places at one go © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 18 Slum Rehabilitation Schemes : Way Forward Administrative reforms for better accountability and target assigning Process to be simplified For identification of Eligible slum dwellers For Eviction of non co-operative slum dwellers – Once scheme is sanctioned through majority consents For acquisition of land © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 19 Slum Rehabilitation Schemes : Way Forward eGovernance Initiatives Development of Slum MIS (by conducting Biometric Survey of each hutment) and seamless Integration with GIS Base Map Creating Rehabilitation Database and conducting biometric survey of existing beneficiaries of SRA Schemes. Customized application for SRA office - For end to end computerization of SRA workflow Automation of building plan approval as per DCR and Online lottery management system Revamping of existing SRA website as per GoM and GoI guidelines Setting up of Data Center in SRA premises for hosting various eGovernance Application of SRA © 2014 KPMG Advisory Services Private Limited, an Indian Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 20 Thank You 21
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