Task force for ULCA abolition

A task force set up by the Maharashtra government has recommended the state government to adopt a policy for renewing over 20,000 dilapidated buildings in Mumbai.

It has also asked the government to abolish the Urban Land Ceiling Act (ULCA) to encourage rental housing. The task force has sought an extension of the leave and licence period from the current 33 months to 60 months.

The task force, headed by Sanjay Ubale, secretary (special projects), has emphasised on six areas "" part of the McKinsey & Company's 'vision Mumbai' plan "" to transform the city into a world class commercial district.

"The first set of recommendations given to the state government emphasises on housing, governance, economic growth, social infrastructure, financing and general infrastructure as the areas of priority," Ubale said.

According to him, rental housing will play a major role in Mumbai's transformation and that will require the abolition of the ULCA.

"The Delhi Rent Act has provision for limited periods of tenancy. Such a provision is not included in ULCA. In Mumbai different property tax rates are levied on a person who occupies his own house and a person who rents it out."

Ubale said that the state government was also considering a proposal to construct an underground metro, which along with the 17 arterial roads being constructed, would meet the transportation requirement of Mumbai city.

"City's growth will get a big boost from the construction of 'golden triangle' between Mumbai-Pune-Nasik. While the average growth in Maharashtra is 4.5 per cent, Mumbai city is actually dragging the state down with a growth rate of a mere 2.5 per cent. Most other cities in the country have similar growth rates.

"It must be remembered that the capital of the Maurya kingdom that used to be Patliputra is present day Patna, while implementing the vision statement of development for a city like Mumbai," Ubale said.