HC has granted BMC 15 days to submit such a proposal and has asked the state government to take an appropriate decision on or before October 17.
BMC has also asked its staff to visit all constructions sites to check that municipal water was not being misused.
Commercial establishments lacked prescribed fire safety measures, say civic officials.
The tribunal had recently directed the BMC not to issue no-objection certificate for construction.
The court had earlier passed an order on July 15, 2008 directing the BMC to take instructions as to whether the corporation on its own was willing to offer any compensation.
Last year, the civic body had begun surveying the hawkers and received around 99,000 forms.
Justices A S Oka and K R Shriram were hearing two public interest litigation (PILs) — one filed by Mayura Maru against illegal structures.
These schools in Mumbai — there are over 150 of them — are managed by the Archdiocesan Board of Education (ABE).
Recent surveys have revealed that there are at least one lakh hawkers in the city.
BMC supplies 3,750 million litre to the city every day.
Education Committee member Darade and a few other members of the education committee will discuss the issue with their seniors soons.
Definition of affordable housing is changing, says Ajoy Mehta.
The ruling alliance in BMC recently held discussions on granting permissions to slum dwellers across Mumbai, to increase the height of their houses.
In January 2015, the assistant commissioner had filed an affidavit stating that “the building is very old and dilapidated.
The DP had left the Brihanmumbai Municipal Corporation (BMC) red-faced, and Jha’s appointment comes at a time when he is overseeing its revision.