Cluster development receives big push

The cabinet note also mentioned the lack of incentives as one of the major reasons for less interest in CDS, adding that the process of proposal for CDS — which also includes fulfilling technical requirements, including approval from the residents among others — takes more than two years, which resulted in a very few CDS taking benefit of the incentive offered on cess. It said that the CDS needs to be promoted as it is the only way to undertake the redevelopment of Mumbai, especially the city area, where buildings are constructed in a congested space.

The civic body had made three recommendations to the Maharashtra government, which included concession in development cess, concession in development charge, and application of several provisions made for slum redevelopment to the CDS.

The state government, however, rejected the last two recommendations, and said that the concession in development charge for a particular city will not be feasible. The development cess is collected directly by the municipal corporation, it said, adding that the provisions for slum redevelopment cannot be applied to the CDS.