Talking to reporters, Chavan said the need of the hour was to encourage development around cities including Mumbai, which are saturated with infrastructure.
Giving details of the proposed decision, he said it would be up to 2 from the existing 0.5 FSI.
"The responsibility of building the infrastructure for the township would be that of the developer," he said.
The incentive of additional FSI would boost development in Mumbai Metropolitan Region, outside the Mumbai city and suburbs which have land shortage. The townships around Mumbai would help in building sizable housing stock, he said.
Chavan said an in-house committee to review the scope of work of the High Rise Committee (HRC) has been set up.
According to him, the decision was taken because terms of references of the HRC and the Environment Impact Assessment Committee were overlapping and hence the government decided to study the scope of both. (More)