To Boost Development Works In Pune, PMC To Issue RCB To Developers

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Pune, 7th September 2021: The Pune Municipal Corporation (PMC) is facing obstacles in land acquisition while implementing development projects. As a result, Katraj-Kondhwa road widening and Shivne-Kharadi road projects have come to a standstill. The landowners have demanded money instead of transfer of development rights (TDR), but as the municipal corporation does not have the funds, the reserve credit bond (RCB) will now be issued to the landowners.

Municipal Commissioner Vikram Kumar said that this will help the landowners get adequate compensation.

Due to the non-acquisition of land, the Shivne-Kharadi road has been blocked for the last 10 years. Not even 50 per cent of the land has been acquired yet. The Katraj-Kondhwa road work deadline will get over in September, but only 30 per cent of the land is acquired.

The landowners have rejected the option of TDR, Floor Space Index (FSI) for land acquisition for both these roads and have demanded cash compensation. It may cost Rs 700 crore. These projects are facing difficulties as such funds are not available with the PMC. The cost is also increasing due to delays in work. As a solution to this, the option of ‘RCB’ has come up.

RCB will be used for land acquisition to complete important projects for the city along with these two projects.

Earlier, PMC had issued tenders for roads and flyovers worth around Rs 600 crore on a public-private partnership (PPP) basis. Similarly, RCB will be used for other important projects. Credit bonds issued to developers through RCB will help them to pay municipal license fees, property tax and other dues.

A final decision in this regard will be taken in the next few days, said Municipal Commissioner Vikram Kumar.