A division bench of Chief Justice Manjula Chellur and Justice Girish Kulkarni restrained the Thane Municipal Corporation (TMC) from granting commencement certificates for any new constructions along the Ghodbunder Road.
The court also restrained the civic body from issuing occupancy certificates to recently completed projects.
"One thing that we have noticed is that construction activity consumes more water than that is required for domestic use," said the bench.
"Most part of Maharashtra, including Thane, is reeling under water scarcity," it said, adding, "In view of this fact, the municipal corporation cannot shirk its responsibility by merely stating that there is enough water available for supply for domestic purposes within the municipal corporation limits."
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Shelar approached the High Court last year after abrupt cut of water supply to various areas along Ghodbunder Road became routine.
His advocate VP Patil, pointed out that water supply was being abruptly stopped for a continuous stretch of 48-hours and all this was because of poor planning at civic body's level.
The court will hear the petition further on June 9.
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